Upon hearing that Salesperson Nicola is transferring to another brokerage, what must Principal Broker Carter do?

Upon hearing that Salesperson Nicola is transferring to another brokerage, what must Principal Broker Carter do?

• A. Notify the VREB within 30 days
• B. Return Nicola's license to the VREB within 10 days
• C. Transfer Nicola's license to the new brokerage immediately
• D. Provide Nicola with a letter of recommendation

Answer: (B)

When a salesperson like Nicola decides to transfer to another brokerage, the principal broker, in this case, Carter, has specific responsibilities according to Virginia real estate law. The correct action for Principal Broker Carter is to return Nicola's license to the Virginia Real Estate Board (VREB) within 10 days of becoming aware of the transfer. This prompt action is necessary to ensure that the license is not held to the incorrect brokerage, thereby maintaining accurate and updated records regarding the active licenses of real estate professionals in the state. The timely return of the license is critical in the real estate regulatory framework, ensuring that once a salesperson has moved to a new brokerage, they are properly licensed under that new affiliation. This action also helps in preventing any potential issues regarding retaliatory actions or misrepresentation that could occur if the license remains under the previous broker mistakenly. Understanding this process highlights the importance of maintaining compliance with state regulations regarding licensing, and it underscores the responsibility brokers have in facilitating smooth transitions for their salespeople.

When a salesperson like Nicola decides to transfer to another brokerage, the principal broker, in this case, Carter, has specific responsibilities according to Virginia real estate law. The correct action for Principal Broker Carter is to return Nicola's license to the Virginia Real Estate Board (VREB) within 10 days of becoming aware of the transfer. This prompt action is necessary to ensure that the license is not held to the incorrect brokerage, thereby maintaining accurate and updated records regarding the active licenses of real estate professionals in the state.

The timely return of the license is critical in the real estate regulatory framework, ensuring that once a salesperson has moved to a new brokerage, they are properly licensed under that new affiliation. This action also helps in preventing any potential issues regarding retaliatory actions or misrepresentation that could occur if the license remains under the previous broker mistakenly.

Understanding this process highlights the importance of maintaining compliance with state regulations regarding licensing, and it underscores the responsibility brokers have in facilitating smooth transitions for their salespeople.