South Dakota License Law

A South Dakota real estate broker who pays an unlicensed person a commission or compensation for real estate brokerage activities has:

AActed within their discretion as a broker
BViolated South Dakota license law and may be disciplined✓ Correct
CComplied with the law if the payment was under $1,000
DOnly violated federal law, not state license law

Explanation

Paying compensation to an unlicensed person for real estate brokerage activities (showing property, negotiating, etc.) violates South Dakota's licensing law and can result in discipline for both parties.

Related South Dakota South Dakota License Law Questions

Practice More South Dakota Real Estate Questions

1,500+ questions covering all exam topics. Start free — no signup required.

Take the Free South Dakota Quiz →