Agency

A NH broker's failure to properly supervise a salesperson who commits fraud in a transaction may result in:

AOnly the salesperson being disciplined
BThe broker also being disciplined by NHREC for failure to supervise✓ Correct
CNo liability for the broker if the act was unauthorized
DCriminal charges against the broker automatically

Explanation

Under NH license law, brokers are responsible for the supervision of licensees working under them. A broker may be disciplined by NHREC for failure to properly supervise even if they did not directly participate in the fraudulent act, as supervision is a primary responsibility of the broker.

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