Under 49 Pa. Code § 35.283 (Compensation and Commission) , a salesperson may only receive compensation through their employing broker . All commissions, bonuses, or referral fees must be paid by the broker and not directly to or from another licensee.

A real estate salesperson cannot accept direct payment from clients, buyers, or sellers.

Any bonus or commission earned must first go to the broker, who then distributes the appropriate amount to the salesperson.

Why the other answers are incorrect:

Option A (Direct Commission from Buyer & Seller): Salespersons cannot accept direct payments from clients ; all payments must go through their broker.

Option B (Pay Referral Fee to Another Salesperson): Only brokers can pay referral fees. A salesperson cannot pay another licensee.

Option D (Split Commission Directly with Another Licensee): Commissions must be handled by the broker , not between individual agents.

According to 49 Pa. Code § 35.305 (Business Name on Advertisements), all advertisements placed by a salesperson must include the broker’s name .

The broker's name is missing , which violates Pennsylvania advertising requirements (Option C - Correct).

The property address does not need to be in the ad (Option A - Incorrect).

Salesperson names are allowed but must be accompanied by the broker's name (Option B - Incorrect).

MLS numbers are not a requirement in all advertisements (Option D - Incorrect).

All exclusive listing agreements in Pennsylvania MUST specify their duration in writing .

49 Pa. Code § 35.332 (Exclusive Listing Agreements) states that all exclusive listings must have a definite start and end date .

Listings without an expiration date are considered illegal and unenforceable in Pennsylvania.

Why the other answers are incorrect:

Option A (Cancellation in 24 Hours): There is no legal requirement for a 24-hour cancellation clause.

Option B (Financing Arrangements): Financing provisions are not a required part of a listing agreement .

Option C (Signed by Cooperating Broker): A cooperating broker’s signature is not required . Only the listing broker and seller need to sign the agreement.

Under 49 Pa. Code § 35.311 (Duties of Buyer’s Agent) , a buyer’s agent must disclose their relationship to the listing broker or seller before providing substantive services.

This ensures that all parties understand who represents whom in the transaction.

Failure to disclose agency relationships could result in ethical violations and penalties from the Pennsylvania Real Estate Commission.

Why the other answers are incorrect:

Option A (Initiate a Title Search): This is typically done by the buyer’s attorney or title company, not the real estate broker.

Option B (Recommend an Inspection): While good practice, it is not legally required under agency law.

Option C (Disclose Dual Representation): This is incorrect because the broker is not acting as a dual agent in this case.

According to 49 Pa. Code § 35.288 under "Reporting of Crimes and Disciplinary Actions" , all licensees in Pennsylvania are required to notify the Pennsylvania Real Estate Commission in writing within 30 days of any felony or misdemeanor conviction.

A licensee does not automatically lose their license upon conviction, but the Commission will review the case and may take disciplinary action such as suspension or revocation of the license.

Failing to report the conviction within the required time may result in additional penalties .

Immediate license surrender (Option A) is not required.

Discussing with the broker (Option B) is not a sufficient step since the official duty is to inform the Commission .

Terminating all activities (Option D) is not an automatic requirement unless the Commission suspends or revokes the license .