North Dakota License Law

A North Dakota licensee who pays for a consumer's closing costs without the broker's knowledge is:

AProviding excellent client service
BPotentially violating license law and creating undisclosed financial arrangements✓ Correct
CActing within their independent authority as a licensee
DFollowing standard industry practice

Explanation

Unauthorized payments and undisclosed financial arrangements violate both professional standards and potentially RESPA. Any financial incentives provided to consumers must be disclosed to all parties and approved by the broker.

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