Alabama License LawIntermediateAlabama Exam

Under Alabama law, a broker who operates a real estate brokerage as a corporation must ensure that:

AThe corporation holds its own AREC real estate license
BA licensed qualifying broker is designated to hold the license on behalf of the entityCorrect
CAll shareholders hold real estate licenses
DThe corporation is registered with AREC as a partnership, under the applicable standard

Why A licensed qualifying broker is designated to hold the license on behalf of the entity Is Correct

Answer B: A licensed qualifying broker is designated to hold the license on behalf of the entity

When a real estate brokerage operates as a corporation (or LLC), a licensed qualifying broker must be designated to hold the license and be responsible for the entity's real estate activities.

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