Tennessee License Law
A Tennessee licensee who accepts a referral fee from a title company without disclosing it to the parties in the transaction is:
APermitted if the fee is under $500
BIn violation of RESPA and Tennessee license law✓ Correct
CPermitted only if the principal broker approves
DRequired to report it to TREC within 30 days
Explanation
Accepting undisclosed referral fees from title companies or other settlement service providers violates RESPA's prohibition on kickbacks and also violates Tennessee license law, which requires licensees to disclose all compensation received in connection with a transaction.
People Also Study
Related Tennessee Questions
- Tennessee requires real estate licensees to disclose their license status when placing an advertisement. This prevents:Tennessee License Law
- A Tennessee real estate licensee who wishes to practice real estate in another state without obtaining a new license may use a:Tennessee License Law
- Under Tennessee license law, a licensee must disclose their licensed status when:Tennessee License Law
- Under Tennessee law, the practice of a licensee purchasing property from a client for resale at a profit without disclosing their intent is:Tennessee License Law
- A Tennessee licensee's duty to 'disclose' requires disclosure of:Agency
- In Tennessee, an affiliated licensee who acts as a dual agent without written consent from both parties faces:Agency
- Under Tennessee license law, a licensee acting as a facilitator (transaction broker) for both parties owes:Agency
- In Tennessee, a real estate agent who recommends a home inspector who pays them a referral fee without disclosing this arrangement is:Agency
Key Terms to Know
State-Specific Concepts
TREC RegulationLicense Law
Practice More Tennessee Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Tennessee Quiz →