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What is the status of a sales associate’s license when the broker's license is suspended or revoked?

  1. The sales associate's license becomes actively renewed

  2. The sales associate's license becomes involuntarily inactive

  3. The sales associate's license remains unaffected

  4. The sales associate automatically receives a temporary license

The correct answer is: The sales associate's license becomes involuntarily inactive

When a broker's license is suspended or revoked, the sales associate's license transitions to an involuntarily inactive status. This means that the sales associate is not permitted to engage in any real estate activities, as they must operate under the authority of a licensed broker. The suspension or revocation of the broker's license essentially severs the working relationship, rendering the sales associate's ability to function in their role null and void until they can affiliate with a new broker or until the broker's license issues are resolved. This response ensures that those in the real estate profession maintain a level of oversight and accountability, protecting consumers and the integrity of the real estate market. The involuntary inactive status also serves as a safeguard, preventing any unauthorized practice of real estate while the broker's status is under review or until the broker regains their active license.