Florida License Law

A Florida real estate broker who engages in 'commingling' of escrow funds with operating funds is subject to:

AA written warning for the first offense
BLicense suspension or revocation and possible criminal prosecution✓ Correct
CA maximum fine of $1,000 per instance
DMandatory retraining with no other penalties

Explanation

Commingling — mixing client funds with the broker's personal or business funds — is a serious violation of Florida law (Chapter 475 F.S. and FREC rules). It can result in license suspension or revocation. If the broker also misappropriates (uses) the escrow funds, it constitutes conversion, which is both a license law violation and a criminal offense.

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