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I am an inactive Ca licensed real estate broker...may I

refer a listing to a...
I am an inactive Ca licensed real estate broker...may I refer a listing to a Houston Texas realtor and legally accept a referral?
JA: What steps has the real estate broker taken so far? Have they prepared or filed any paperwork?
Customer: I am the inactive broker, my brother is going to sell his home in texas and would like me to get a referral from it
JA: Where is the home located?
Customer: Houston Texas. My inactive license is in ca
JA: Anything else you want the lawyer to know before I connect you?
Customer: No
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Answered in 7 minutes by:
11/11/2017
socrateaser
socrateaser, Lawyer
Category: Real Estate Law
Satisfied Customers: 39,474
Experience: Attorney and Real Estate broker -- Retired (mostly)
Verified

Hello,

In California, any person can receive a "finder's fee" for the introduction of a buyer to a seller or vise versa. This principle would reasonably include a referral. However, if the person does anything else with regard to the transaction, no matter how minor, then the person violates the rule and must have an active California real estate license to receive a sales commission.

The problem in your scenario is that even if your license in California were active and in good standing, you aren't licensed in Texas. And, under Texas law, you cannot receive a sales commission or a finder's fee without an active California license. See Section 535.131 of TREC regulations.

Bot***** *****ne, you could receive a full sales commission if you make the referral and your California license is active. Otherwise, not.

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socrateaser
socrateaser, Lawyer
Category: Real Estate Law
Satisfied Customers: 39,474
Experience: Attorney and Real Estate broker -- Retired (mostly)
Verified
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socrateaser
socrateaser
socrateaser, Lawyer
Category: Real Estate Law
Satisfied Customers: 39,474
39,474 Satisfied Customers
Experience: Attorney and Real Estate broker -- Retired (mostly)

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DISCLAIMER: Answers from Experts on JustAnswer are not substitutes for the advice of an attorney. JustAnswer is a public forum and questions and responses are not private or confidential or protected by the attorney-client privilege. The Expert above is not your attorney, and the response above is not legal advice. You should not read this response to propose specific action or address specific circumstances, but only to give you a sense of general principles of law that might affect the situation you describe. Application of these general principles to particular circumstances must be done by a lawyer who has spoken with you in confidence, learned all relevant information, and explored various options. Before acting on these general principles, you should hire a lawyer licensed to practice law in the jurisdiction to which your question pertains.

The responses above are from individual Experts, not JustAnswer. The site and services are provided “as is”. To view the verified credential of an Expert, click on the “Verified” symbol in the Expert’s profile. This site is not for emergency questions which should be directed immediately by telephone or in-person to qualified professionals. Please carefully read the Terms of Service (last updated February 8, 2012).

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