New Jersey License Law
A NJ broker who is found to have paid a referral fee to an unlicensed person for steering a client to the broker may be subject to:
ANo penalty if the amount was under $100
BNJREC disciplinary action and a violation of federal RESPA's anti-kickback provisions✓ Correct
COnly a municipal fine
DOnly a civil lawsuit by the referred client
Explanation
Paying referral fees to unlicensed persons for referring real estate clients violates NJ license law and may also violate RESPA Section 8. The broker faces NJREC disciplinary action and potential federal penalties.
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