Alabama License LawIntermediateAlabama Exam

Which of the following is NOT a ground for license revocation by AREC in Alabama?

ACommingling client funds with personal funds

BMisrepresenting material facts to a buyer

CFailing to join the National Association of REALTORS®Correct

DActing as a dual agent without written consent, in general

Why Failing to join the National Association of REALTORS® Is Correct

Answer C: Failing to join the National Association of REALTORS®

AREC can revoke licenses for unethical or illegal conduct such as commingling, misrepresentation, or undisclosed dual agency. Membership in a trade association such as NAR is voluntary and not required by Alabama license law.

Key Alabama License Law Terms in This Question

Agency

A legal relationship in which a licensee (agent) acts on behalf of a principal (buyer or seller) in a real estate transaction.

Dual Agency

A situation where a single real estate agent or brokerage represents both the buyer and the seller in the same transaction.

Lien

A financial claim against a property that serves as security for a debt or obligation, giving the creditor the right to foreclose if unpaid.

People Also Study

Key Terms to Know

Dual Agency

A situation where a single real estate agent or brokerage represents both the buyer and the seller in the same transaction.

Agency

A legal relationship in which a licensee (agent) acts on behalf of a principal (buyer or seller) in a real estate transaction.

Lien

A financial claim against a property that serves as security for a debt or obligation, giving the creditor the right to foreclose if unpaid.

Promissory Note

A written promise to repay a loan under specified terms — the borrower's personal financial obligation in a real estate transaction.

State-Specific Concepts

AREC RegulationLicense Law

Practice More Alabama Real Estate Questions

1,500+ questions covering all exam topics. Start free — no signup required.

Take the Free Alabama Quiz →