Colorado License Law
When can a Colorado broker legally accept an undisclosed referral fee from a title company?
AWhenever the amount is less than $100
BNever — undisclosed referral fees from settlement service providers violate RESPA and state law✓ Correct
CWhen the buyer is paying for the title insurance
DOnly in commercial transactions
Explanation
Undisclosed referral fees from settlement service providers (title companies, lenders, inspectors) are prohibited under RESPA and Colorado license law. Any compensation arrangement must be disclosed to all affected parties.
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