Final answer:
Yes, it could be a violation for an owner-developer to pay a commission to Sally, who has an inactive real estate license and when the developer is not a broker, because generally, only active license holders can legally earn commissions for real estate transactions.
Step-by-step explanation:
The question asks if it is a violation for an owner-developer to pay a commission to an employee, Sally, for selling a lot when Sally has an inactive real estate license and the developer is not a broker. This scenario potentially involves a violation of real estate licensing laws, which vary by state.
In many jurisdictions, only actively licensed real estate agents can receive compensation for facilitating real estate transactions. As Sally has an inactive license and the developer is not a broker, paying a commission for selling real estate could be seen as an unlicensed practice. It is crucial for all parties to be in compliance with the state's real estate regulations.