Arizona License Law
Under Arizona law, a real estate licensee who pays an unlicensed person a referral fee for directing business to the licensee is:
AActing legally as long as the payment is less than $500
BViolating Arizona law, which prohibits licensees from paying referral fees or compensation to unlicensed persons for real estate activities requiring a license✓ Correct
CPermitted if the referral is disclosed to all parties
DRequired to report the payment to the ADRE within 30 days
Explanation
Arizona law prohibits the payment of referral fees or any real estate compensation to unlicensed persons for activities that require a real estate license. This includes steering clients to licensees in exchange for compensation. Violating this provision can result in disciplinary action against the licensee.
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