1. A licensee has just completed a listing contract for a residential property. The owners tell the licensee that they prefer that the house be sold to a Caucasian couple. What should the licensee do?

Answer: B

Explanation:

The licensee should inform the sellers that the Pennsylvania Human Relations Act prohibits this practice.

The licensee must explain to the sellers that their preference for a specific racial group violates the Pennsylvania Human Relations Act, which prohibits discrimination in housing based on race.

A) Tell the sellers to give the listing to another broker

While this option may seem reasonable, simply advising the sellers to find another broker does not address the discriminatory request they made. It avoids the legal implications of their request and does not provide any guidance or education regarding their obligations under the law.

B) Tell the sellers that Pennsylvania Human Relations Act prohibits this practice

This is the correct response, as it directly informs the sellers that their request for racial preference is illegal under the Pennsylvania Human Relations Act. This action helps to educate the sellers about the law and ensures that the licensee complies with ethical standards and legal requirements in real estate transactions.

C) Report the sellers to the Pennsylvania Real Estate Commission

Reporting the sellers may be premature and unnecessary at this stage. Instead, the licensee should first attempt to educate the sellers about the law and the implications of their request. Reporting should be considered only if the sellers persist in their discriminatory practices after being informed.

D) Tell the sellers that they will do whatever they can to comply with their request and then do so

This option is unethical and illegal, as it involves complying with a discriminatory request. Such actions not only violate the law but also harm the integrity of the real estate profession and contribute to systemic discrimination in housing.

Conclusion

The correct answer, B, underscores the importance of adhering to anti-discrimination laws in real estate transactions. All other options fail to address the legal and ethical responsibilities of the licensee, either by avoiding the issue or by suggesting compliance with illegal requests. Educating the sellers about the Pennsylvania Human Relations Act is essential for promoting fair housing practices.