New York License Law

Under New York Real Property Law, a broker who receives an earnest money deposit must place it in a separate escrow or trust account within:

AImmediately upon receipt
B3 business days of receipt✓ Correct
C5 business days of receipt
D10 business days of receipt

Explanation

New York DOS regulations require that a licensed real estate broker deposit any funds received on behalf of a principal (including earnest money deposits) into a separate escrow or trust account within 3 business days of receipt. Failure to do so constitutes commingling and is grounds for license discipline.

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