15. A licensee at ABC Realty has a listing to sell a property. The listing will not expire for 70 more days. If the licensee decides to move licenses to QRS Realty, what is the status of the listing
Answer: D
The listing belongs to the firm, ABC Realty, and the rights to a commission if the property sells during the listing will be determined by the policies of ABC Realty.
When a licensee moves their license to a different brokerage while a listing is active, the listing remains with the original brokerage firm. The rights to any commission earned from the sale of the property will depend on the policies set forth by ABC Realty.
A) The licensee cannot qualify for any part of the commission even after finding a buyer to purchase the listing during the listing period
This option is incorrect because the licensee may still be entitled to some form of commission, but it would depend on the agreements and policies of ABC Realty regarding commission distribution during the listing period.
B) It is the licensee's listing and will automatically get the listing commission when the property sells regardless of the change of brokerage companies
This statement is misleading. The listing is not the personal property of the licensee; it is owned by ABC Realty. Therefore, the licensee does not automatically qualify for the commission simply because they found a buyer.
C) The licensee can inform both the seller and the principal broker of ABC Realty about moving the listing to QRS Realty and continue to market the property
This option is incorrect. While the licensee can inform relevant parties, they cannot simply transfer the listing to a new brokerage and continue marketing it, as the listing belongs to ABC Realty.
D) The listing belongs to the firm, ABC Realty, and the rights to a commission if the property sells during the listing will be determined by the policies of ABC Realty
This option accurately reflects the situation. The listing is tied to ABC Realty, and any commission rights are subject to the firm's policies, confirming that the licensee does not retain commission rights upon moving to another brokerage.
Conclusion
The correct answer highlights the fact that real estate listings are owned by the brokerage firm, not the individual licensee, thus ensuring that commission rights are determined by the policies of ABC Realty. All other options fail to recognize this fundamental principle, leading to incorrect assumptions about commission entitlement and listing ownership.