Question

Broker Joe has a main office in Detroit and a branch office in Lincoln Park, 11 miles away. Does Joe need an associate broker in charge of the branch office?

A) Yes, it's a legal requirement in Michigan.
B) No, an associate broker is not required for a branch office.
C) Only if the branch office is more than 20 miles away.
D) It depends on the size of the branch office.

Answer 1

In Michigan, every branch office must have an associate broker in charge, regardless of the office’s distance from the main office or its size. Therefore, Broker Joe is legally required to designate an associate broker for the branch office in Lincoln Park.

Step-by-step explanation:

The question at hand is whether Broker Joe needs an associate broker in charge of the branch office located in Lincoln Park, 11 miles away from the main office in Detroit. According to Michigan law, the answer is A) Yes, it's a legal requirement in Michigan. Every branch office must have an associate broker or a broker to maintain supervision and compliance with state laws. This requirement is not conditional on the distance of the branch office from the main office or its size. Therefore, regardless of the fact that Lincoln Park is only 11 miles away from Detroit, an associate broker in charge is necessary for regulatory compliance.