1
Arkansas Law & regulations Questions with
Answers (100% Correct Answers)
What's the purpose of license law? Answer: To regulate the practice of real
estate brokers & salespersons in order to protect the public health, safety, &
welfare. Only individuals who meet and maintain the minimum standards of
competence & conduct may provide service to the public.
Can an "Associate broker" have supervisory authority? Answer: No, they are
supervised by PB or executive broker.
Does an executive broker have to be under supervision? Answer: Yes, by PB
Who may executive broker have supervision over? Answer: Associate brokers
& salespersons
To participate in a real estate auction, must the auctioneer and ringman both
hold a real estate license? Answer: Yes
Define "Principal Broker" Answer: Individual expecting to act or act for
another for a fee, commission, or other consideration.
What is a person called working under the Power of Attorney? Answer:
Attorney in fact
Can a person working under an official power of attorney receive a fee for
selling the person's property whom they are representing? Answer: No
What is the limitation of an attorney at law performing real estate activities
without a license? Answer: Performing his or her duties as an attorney at law.
For exemption, does a resident manager have to actually live on the property?
Answer: Yes
,2
Can an officer or employee of a federal agency or state government, or any
political subdivision buy or sell property? Answer: Yes, as long as it's in the
performance or conduct of their official duties.
Do MLS employees have to have a RE license? Answer: not if they're wholly
owned by a nonprofit organization or association of real estate licenses.
What could a person be charged with for operating without a real estate license
when such is required? Answer: Class D felony
Who would prosecute a violator for operating without a license? Answer:
Prosecuting attorney for each county
In what court would an action for operating without a license be brought?
Answer: Circuit court in any county where it happened
Can a salesperson, executive broker, or associative broker sue the public for
compensation? Answer: No, unless action is against Principal broker with
whom he/she is licensed with.
In which real estate transaction must an agent disclose to the parties whom
they are representing? Answer: Every one
How many members make up AREC? Answer: 5
Who appoints the commissioners? Answer: Governor
What is the length of the term for Real Estate commissioners? Answer: 3 years
3/5 of commissioners must have held a real estate license for a minimum of:
Answer: 5 years
The governor fills vacancies from a list of 4 nominees submitted by whom?
Answer: Arkansas Realtors Association
To whom do the two non-industry people on the commission represent?
Answer: one represents consumers, one represents the elderly (60+)
, 3
What is the limitation of the two non-industry representatives on the
Commission? Answer: - both shall be appointed from stage at large, subject to
confirmation by the senate
- 2 positions can't be held by the same person
- both shall be full voting members, but can't participate in the grading of exams
Who is employed to put into effect the rules and regulations of the
Commission? Answer: Executive director
May the Commission implement rules and regulations to carry out the intent of
the law? Answer: yes
What is the limitation of the Commission conducting and paying for a real
estate seminar? Answer: reasonable & necessary expenses in connection
Can the Commission make a charge for materials provided by the
Commission? Answer: Yes, reasonable charges
Does the commission have the right to establish procedures for real estate
auctions? Answer: Yes
What two licensing agencies must an auctioneer comply with when conducting
real estate auctions? Answer: 1. AREC
2. Auctioneer's Licensing Board
Does Commission have power to issue subpoenas? Answer: Yes
What is the subpoena called that requires books, writing, or documents to be
produced? Answer: Subpoena duces tecum
Under what provisions may an unlicensed person own a real estate firm?
Answer: provided the employees or agents employed by or associated with the
firm who perform RE activities, hold an active license.
Arkansas Law & regulations Questions with
Answers (100% Correct Answers)
What's the purpose of license law? Answer: To regulate the practice of real
estate brokers & salespersons in order to protect the public health, safety, &
welfare. Only individuals who meet and maintain the minimum standards of
competence & conduct may provide service to the public.
Can an "Associate broker" have supervisory authority? Answer: No, they are
supervised by PB or executive broker.
Does an executive broker have to be under supervision? Answer: Yes, by PB
Who may executive broker have supervision over? Answer: Associate brokers
& salespersons
To participate in a real estate auction, must the auctioneer and ringman both
hold a real estate license? Answer: Yes
Define "Principal Broker" Answer: Individual expecting to act or act for
another for a fee, commission, or other consideration.
What is a person called working under the Power of Attorney? Answer:
Attorney in fact
Can a person working under an official power of attorney receive a fee for
selling the person's property whom they are representing? Answer: No
What is the limitation of an attorney at law performing real estate activities
without a license? Answer: Performing his or her duties as an attorney at law.
For exemption, does a resident manager have to actually live on the property?
Answer: Yes
,2
Can an officer or employee of a federal agency or state government, or any
political subdivision buy or sell property? Answer: Yes, as long as it's in the
performance or conduct of their official duties.
Do MLS employees have to have a RE license? Answer: not if they're wholly
owned by a nonprofit organization or association of real estate licenses.
What could a person be charged with for operating without a real estate license
when such is required? Answer: Class D felony
Who would prosecute a violator for operating without a license? Answer:
Prosecuting attorney for each county
In what court would an action for operating without a license be brought?
Answer: Circuit court in any county where it happened
Can a salesperson, executive broker, or associative broker sue the public for
compensation? Answer: No, unless action is against Principal broker with
whom he/she is licensed with.
In which real estate transaction must an agent disclose to the parties whom
they are representing? Answer: Every one
How many members make up AREC? Answer: 5
Who appoints the commissioners? Answer: Governor
What is the length of the term for Real Estate commissioners? Answer: 3 years
3/5 of commissioners must have held a real estate license for a minimum of:
Answer: 5 years
The governor fills vacancies from a list of 4 nominees submitted by whom?
Answer: Arkansas Realtors Association
To whom do the two non-industry people on the commission represent?
Answer: one represents consumers, one represents the elderly (60+)
, 3
What is the limitation of the two non-industry representatives on the
Commission? Answer: - both shall be appointed from stage at large, subject to
confirmation by the senate
- 2 positions can't be held by the same person
- both shall be full voting members, but can't participate in the grading of exams
Who is employed to put into effect the rules and regulations of the
Commission? Answer: Executive director
May the Commission implement rules and regulations to carry out the intent of
the law? Answer: yes
What is the limitation of the Commission conducting and paying for a real
estate seminar? Answer: reasonable & necessary expenses in connection
Can the Commission make a charge for materials provided by the
Commission? Answer: Yes, reasonable charges
Does the commission have the right to establish procedures for real estate
auctions? Answer: Yes
What two licensing agencies must an auctioneer comply with when conducting
real estate auctions? Answer: 1. AREC
2. Auctioneer's Licensing Board
Does Commission have power to issue subpoenas? Answer: Yes
What is the subpoena called that requires books, writing, or documents to be
produced? Answer: Subpoena duces tecum
Under what provisions may an unlicensed person own a real estate firm?
Answer: provided the employees or agents employed by or associated with the
firm who perform RE activities, hold an active license.
