Arizona License LawIntermediateArizona Exam
Which of the following is a ground for license revocation or suspension by the ADRE in Arizona?
ACharging a commission above the MLS average
BCommingling client funds with the broker's personal fundsCorrect
CRepresenting both buyer and seller with written consent
DCharging different commission rates to different clients
Why Commingling client funds with the broker's personal funds Is Correct
Answer B: Commingling client funds with the broker's personal funds
Commingling—mixing client funds (trust money) with the broker's personal or operating funds—is a serious violation that can result in license revocation, suspension, or other disciplinary action by the ADRE.
Key Arizona License Law Terms in This Question
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Key Terms to Know
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.
Earnest MoneyA deposit made by the buyer when submitting a purchase offer, demonstrating serious intent and serving as consideration for the contract.
Promissory NoteA written promise to repay a loan under specified terms — the borrower's personal financial obligation in a real estate transaction.
Math Concepts
State-Specific Concepts
DRE Regulation
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