Kentucky License Law
In Kentucky, a real estate licensee cannot be paid compensation by any party to a transaction other than through their:
ADirect payment from buyers
BEmploying principal broker✓ Correct
CLocal association of REALTORS®
DKREC's approved payment portal
Explanation
Under KRS Chapter 324, all compensation to a sales associate must flow through their employing principal broker. Sales associates cannot receive direct payment from clients.
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Key Terms to Know
Lien
A financial claim against a property that serves as security for a debt or obligation, giving the creditor the right to foreclose if unpaid.
AgencyA legal relationship in which a licensee (agent) acts on behalf of a principal (buyer or seller) in a real estate transaction.
AmortizationThe gradual repayment of a loan through scheduled periodic payments that cover both principal and interest.
State-Specific Concepts
License Law
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