acting as agent in FSBO - Posted by Edward Downs

Real Estate Investing Real Estate Law
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Posted by Rick-in-Cali on June 04, 2004 at 01:01:40:

I’m not an attorney, and I hope I’m not misinterpreting here, but according to the California Business and Professions Code, §10137 a.k.a., (the “Real Estate Law”):

“…No real estate salesman shall be employed by or accept compensation from any person other than the broker under whom he is at the time licensed…”

And regarding violations,

“…For a violation of any of the provisions of this section, the commissioner may temporarily suspend or permanently revoke the license of the real estate licensee, in accordance with the provisions of this part relating to hearings.”

I would bet good money that your wife would be opening up Pandora’s liability box if she were to act as your friend’s agent through your consulting business and the deal went south sometime down the road.
Just my opinion.

Best regards,

Rick-in-Cali

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acting as agent in FSBO - Posted by Edward Downs

Posted by Edward Downs on May 22, 2004 at 10:49:42:

My wife has a California agent license but is not working in the real estate industry. We do, however, have a consulting business. A friend is selling his house FSBO and wants to know if my wife can act as an agent and be paid a commission through out consulting business. We’ve helped our friend out in the past so he wants to give us the chance to earn some money through his sell. Plus our friend doesn’t really want to handle the FSBO details himself.

Question: Can a licensed individual act as an agent for another party while not working for a broker or having a brokers license? What would be the agents liabilities if such a situation were legal?