DRE & Licensing
A real estate licensee who engages in 'conversion' of trust funds has:
AChanged the purpose of a property
BIllegally used client trust funds for their own personal use✓ Correct
CTransferred a property to a new use
DChanged the zoning of a property
Explanation
Conversion is the illegal use of client trust funds for the licensee's own personal purposes. It is one of the most serious violations of the Real Estate Law and typically results in license revocation and criminal charges.
Related California DRE & Licensing Questions
- To obtain a California salesperson license, an applicant must be at least:
- Under California law, a real estate broker may be held liable for the acts of their salespersons under the doctrine of:
- How long is a California real estate salesperson license valid?
- Under California's 'do not call' requirements, a real estate licensee who receives a 'do not call' request from a consumer must honor that request for a minimum of:
- To obtain a California broker's license, a salesperson must have:
- Under California law, a real estate licensee is required to disclose their license status in which of the following situations?
- In California, how long does a real estate license applicant who fails the licensing exam have to re-apply for reexamination?
- Which of the following activities requires a California real estate license?
Practice More California Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free California Quiz →