Question

A licensed real estate salesperson takes a listing that does not authorize her to take a deposit. The salesperson finds a buyer, however, who gives her a personal check as a deposit with an offer on the property. With regard to the deposit, the salesperson broker would be

Answer 1

The salesperson broker would be liable for accepting the deposit without authorization from the listing agreement.

Step-by-step explanation:

The salesperson broker would be liable for accepting the deposit without authorization from the listing agreement. Real estate transactions are governed by specific laws and regulations, and it is essential for brokers and salespersons to follow them. In this case, because the listing agreement did not grant the salesperson the authority to accept a deposit, the salesperson acted outside their permitted scope and could face legal consequences.

By accepting the deposit, the salesperson broker may also be breaching their fiduciary duty to the seller. Fiduciary duty requires real estate professionals to act in the best interest of their clients, in this case, the seller. Accepting the deposit without authorization potentially goes against this duty and may result in legal action against the salesperson broker.

It is crucial for real estate professionals to fully understand the terms of the listing agreement and to follow them precisely to avoid any legal issues or disputes.