Delaware License LawIntermediateDelaware Exam

Which of the following is considered commingling under Delaware license law?

ADepositing client funds in a federally insured escrow account
BMixing client funds with the broker's personal or business fundsCorrect
COpening two separate escrow accounts for different clients
DPaying a referral fee to a licensed out-of-state broker

Why Mixing client funds with the broker's personal or business funds Is Correct

Answer B: Mixing client funds with the broker's personal or business funds

Commingling is the illegal practice of mixing client funds (earnest money, security deposits) with the broker's own personal or business funds, rather than keeping them in a separate escrow account.

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