Question

If a licensee chooses to transfer a license, the current broker must...

A. sign a relapse form and forward to both the Commission and the new broker.
B. deliver the wall certificate to the new broker in person.
C. sign a release form and forward the wall certificate to the Commission.
D. retain the license until the new broker has been established.

Answer 1

The correct answer is option C. sign a release form and forward the wall certificate to the Commission.

Step-by-step explanation:

When a licensee decides to transfer a license from one broker to another, the current broker's responsibilities can vary depending on state regulations and real estate commission rules. However, a commonly accepted practice involves the current broker signing a release form. The release form effectively removes the broker's responsibility for the licensee and acknowledges the transfer of the licensee to another broker. The wall certificate is usually sent to the commission rather than being delivered in person to the new broker. The correct answer to the student's question is therefore:

C. sign a release form and forward the wall certificate to the Commission.

This ensures a clear chain of custody for the license and official recognition of the transfer from the regulatory authority.