Minnesota License Law

In Minnesota, a real estate broker who fails to maintain adequate supervision of affiliated licensees may be subject to:

ANo liability, as licensees are independent contractors
BDisciplinary action by the Department of Commerce, including fines or license suspension✓ Correct
CCriminal prosecution only
DOnly civil lawsuits from harmed clients

Explanation

A Minnesota broker has a legal duty to supervise affiliated licensees. Failure to provide adequate supervision—allowing unlicensed activity, trust account irregularities, or client misrepresentation—can result in disciplinary action against the broker by the Department of Commerce, including fines, license suspension, or revocation.

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