Real Estate Chapter 2

Front 1

Branch office

Back 1

Must be under the direct supervision of a broker or broker-salesperson and must have a duplicate license. Additionally, the names of all licensees and the branch office supervisor must be recorded with the Commission and prominently displayed in the branch office, along with the office license. No branch office can be in the home of a salesperson or broker-salesperson.

Front 2

Commingling

Back 2

Brokers are specifically prohibited from mixing their own funds with money in the trust account. In some circumstances, the broker may be authorized to collect a commission directly from the money held in the escrow account. In that case, the business ledger should be document the source of the authorization and the amount and source of the commission, and the money should be taken out promptly after the authorization.

Front 3

Duplicate original

Back 3

Every person who signs a listing contract, sales contract, or lease should immediately receive this document; that is, licensees must provide multiple original copies for the parties signatures.

Front 4

Escrow account

Back 4

A special trust account, established by a broker, in an authorized financial institution in NJ, to be used for the deposit of all money belonging to other persons (earnest money deposits, rent collections, and the like.) The name of the financial institution and the account number must be reported to the Commission both at license and application and at the time of renewal.

Front 5

Guilty knowledge

Back 5

Knew what was going on a did nothing to stop it.

Front 6

Probation

Back 6

Commission may do this to a license

Front 7

Revocation

Back 7

Commission may revoke the license

Front 8

Suspension

Back 8

Commission may do this.

Front 9

Trust Account

Back 9

Escrow account

Front 10

Waiver of Broker Cooperation

Back 10

Document for seller to sign that directs a broker not to cooperate with other firms that may want to show the listed property.