Question 4

A licensee may use the term 'REALTOR' or 'REALTOR ASSOCIATE' ONLY if the licensee is a member of the National Association of REALTORS.

To use the terms 'REALTOR' or 'REALTOR ASSOCIATE', a licensee must be a member of the National Association of REALTORS. This membership signifies adherence to a strict code of ethics and professional standards.

A) duly licensed by the state real estate commission

While being duly licensed by the state real estate commission is necessary to practice real estate, it does not grant the right to use the terms 'REALTOR' or 'REALTOR ASSOCIATE'. These terms are specifically reserved for members of the National Association of REALTORS, which is a separate requirement beyond state licensing.

B) a member of the National Association of REALTORS

This option is correct, as the term 'REALTOR' is a trademarked designation that can only be used by individuals who are members of the National Association of REALTORS. Membership ensures that these professionals commit to the ethical standards and practices set forth by the organization.

C) an owner and a manager of a real estate company

Being an owner and manager of a real estate company does not automatically qualify one to use the terms 'REALTOR' or 'REALTOR ASSOCIATE'. Membership in the National Association of REALTORS is still required for the use of these designations, regardless of ownership or managerial status.

D) a member of a national franchise

Membership in a national franchise does not provide the right to use 'REALTOR' or 'REALTOR ASSOCIATE'. Such terms are specifically tied to membership in the National Association of REALTORS, not franchise affiliation. Thus, being part of a franchise does not meet the necessary criteria.

Conclusion

The requirement to be a member of the National Association of REALTORS is essential for using the terms 'REALTOR' and 'REALTOR ASSOCIATE', as these designations carry specific ethical responsibilities and standards. Other options, while related to real estate practice, do not fulfill the necessary condition for using these terms, making Option B the definitive correct choice.