South Carolina License Law
In South Carolina, what must a broker do with earnest money when a sale falls through and the parties dispute who is entitled to it?
AGive it to the seller automatically
BKeep it in the trust account until the dispute is resolved through agreement of the parties or court order✓ Correct
CReturn it to the buyer immediately
DTurn it over to SCREC for safekeeping
Explanation
When earnest money is disputed, the broker must keep the funds in the trust account and not disburse them unilaterally. Disbursement requires written agreement of all parties or a court order. Improper disbursement can result in license discipline.
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