Connecticut License Law
A Connecticut broker discovers that one of their affiliated salespersons has been accepting cash payments directly from buyers without depositing them in the brokerage's escrow account. This is:
AAcceptable if the salesperson shares the cash with the broker
BA violation of escrow requirements and could constitute conversion of client funds✓ Correct
CAcceptable if the amounts are small
DA violation only if the buyer complains
Explanation
Accepting client funds and failing to deposit them in the brokerage's escrow account violates Connecticut license law and constitutes commingling or conversion of client funds. Both the salesperson and the broker may face disciplinary action.
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