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Is your real estate team violating the law?

08/14/2017

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SAN FRANCISCO — If you run a real estate team or are the supervising broker of an office that has agent teams — listen up. There’s a high probability that your teams are violating the independent contractor laws, and it’s time to act now to rectify this situation. The underlying problem when it comes to both teams and brokerages is that real estate law requires managing brokers to supervise their agents. Under independent contractor (IC) law, however, the very act of supervising an agent makes that agent an employee. Although there is some degree of protection due to the real estate laws for brokers, there is no provision in the law for an IC agent team leader to supervise another IC agent. During the Leadership Track at Inman Connect, June Barlow, senior vice president and general counsel  for the California Association of Realtors; Linzee Ciprani, founder and CEO of Ciprani Consulting; and Penny Nathan, president/CEO of Ascent Real Estate Inc., identified the legal pitfalls…

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