COLORADO FORMS AND CONTRACTS 2026/2027
QUESTIONS AND SOLUTIONS RATED A+
✔✔The Commission does not have what type of power? - ✔✔Subpoena power
✔✔The Commission can do one of three things after an investigation of a complaint? -
✔✔1. Dismiss the complaint, 2. Issue a letter of admonishment (warning) lowest level of
discipline. 3. Investigative report is generated
✔✔An administrative law judge will determine if - ✔✔Censure, suspension or
permanent revocation of the licenses of those found guilty is recommended
✔✔The Real Estate Commission is the only entity that can - ✔✔Suspend or revoke a
licensee's license
✔✔The real estate commission can impose a fine not to exceed ______ for each
offense - ✔✔$2500.00
✔✔The Real Estate commission does not have authority to investigate - ✔✔Ethics
violations and disputes between brokers
✔✔Associate Brokers are - ✔✔The lowest level and must be affiliated with a firm
✔✔Independent Brokers - ✔✔Can apply for license change after two years of active
license, not affiliated with another brokerage firm and cannot hire other brokers.
✔✔Employing brokers - ✔✔Can apply for license change after two years of active
license, can act as employing broker for another firm or their own, can hire other
brokers, responsible for supervising brokers at the firm, and must pass a 24 hour Broker
Administration Course
✔✔Non-Resident brokers may conduct business in Colorado but must have - ✔✔An
office in their home state and agree to keep all trust funds.
✔✔Act requiring a license - ✔✔Selling or leasing property for others for a fee, business
opportunities that involves real property, real estate options
✔✔A real estate license is needed to sell a store with how many years lease? - ✔✔5
✔✔A temporary hardship license may be issued to broker who has at least how many
years experience? - ✔✔2 years
✔✔Temporary licenses may be issued to a Corporation or LLC for how many days? and
may be renewed for how many days? - ✔✔90 days and maybe renewed for 90 days
, ✔✔Failure of the employing broker to notify the commission of a change of location will
- ✔✔Inactivate the employing brokers license
✔✔E&O Insurance - ✔✔Protects the licensee against financial loss from oversights in
filling out forms
✔✔Who must carry E&O insurance? - ✔✔All active licensee's
✔✔E&O Insurance is renewed - ✔✔Every calendar year
✔✔The bare minimum for the advertising? - ✔✔Must include the firms name
✔✔Licensee's with fewer than how many years of experience are owed a high level of
supervision? - ✔✔2 years
✔✔High level supervision includes - ✔✔Training on company policies and procedures,
close supervision and assistance with closings, assigning other qualified brokers to
attend closings, reviewing all executed contracts and being available to answer
questions.
✔✔Reasonable level of supervision - ✔✔For employees with more than 2 years of
experience. Must review 50% of all contracts and be available to answer questions.
✔✔An active Colorado real estate broker must have - ✔✔An office open to the public
✔✔The office policy must describe - ✔✔The office rules for the agency
✔✔What is a violation of the Sherman Anti-Trust Laws? - ✔✔Two brokers at different
brokerage firms agreeing to charge the same commission rate
✔✔Rebates (CP-12) - ✔✔Are considered to be a negotiation or re-negotiation of
commissions
✔✔Brokers with active real estate licenses in other states can be paid - ✔✔A referral
fee as long as they have an active real estate license with business offices
✔✔Due to RESPA - ✔✔We will not accept any fee from a company pr person involved
in the settlement of real estate transaction.
✔✔Affiliated Business Aggrangements - ✔✔An agent must fully disclose the
relationship and provide a list of other companies so the client is aware that they have a
choice
QUESTIONS AND SOLUTIONS RATED A+
✔✔The Commission does not have what type of power? - ✔✔Subpoena power
✔✔The Commission can do one of three things after an investigation of a complaint? -
✔✔1. Dismiss the complaint, 2. Issue a letter of admonishment (warning) lowest level of
discipline. 3. Investigative report is generated
✔✔An administrative law judge will determine if - ✔✔Censure, suspension or
permanent revocation of the licenses of those found guilty is recommended
✔✔The Real Estate Commission is the only entity that can - ✔✔Suspend or revoke a
licensee's license
✔✔The real estate commission can impose a fine not to exceed ______ for each
offense - ✔✔$2500.00
✔✔The Real Estate commission does not have authority to investigate - ✔✔Ethics
violations and disputes between brokers
✔✔Associate Brokers are - ✔✔The lowest level and must be affiliated with a firm
✔✔Independent Brokers - ✔✔Can apply for license change after two years of active
license, not affiliated with another brokerage firm and cannot hire other brokers.
✔✔Employing brokers - ✔✔Can apply for license change after two years of active
license, can act as employing broker for another firm or their own, can hire other
brokers, responsible for supervising brokers at the firm, and must pass a 24 hour Broker
Administration Course
✔✔Non-Resident brokers may conduct business in Colorado but must have - ✔✔An
office in their home state and agree to keep all trust funds.
✔✔Act requiring a license - ✔✔Selling or leasing property for others for a fee, business
opportunities that involves real property, real estate options
✔✔A real estate license is needed to sell a store with how many years lease? - ✔✔5
✔✔A temporary hardship license may be issued to broker who has at least how many
years experience? - ✔✔2 years
✔✔Temporary licenses may be issued to a Corporation or LLC for how many days? and
may be renewed for how many days? - ✔✔90 days and maybe renewed for 90 days
, ✔✔Failure of the employing broker to notify the commission of a change of location will
- ✔✔Inactivate the employing brokers license
✔✔E&O Insurance - ✔✔Protects the licensee against financial loss from oversights in
filling out forms
✔✔Who must carry E&O insurance? - ✔✔All active licensee's
✔✔E&O Insurance is renewed - ✔✔Every calendar year
✔✔The bare minimum for the advertising? - ✔✔Must include the firms name
✔✔Licensee's with fewer than how many years of experience are owed a high level of
supervision? - ✔✔2 years
✔✔High level supervision includes - ✔✔Training on company policies and procedures,
close supervision and assistance with closings, assigning other qualified brokers to
attend closings, reviewing all executed contracts and being available to answer
questions.
✔✔Reasonable level of supervision - ✔✔For employees with more than 2 years of
experience. Must review 50% of all contracts and be available to answer questions.
✔✔An active Colorado real estate broker must have - ✔✔An office open to the public
✔✔The office policy must describe - ✔✔The office rules for the agency
✔✔What is a violation of the Sherman Anti-Trust Laws? - ✔✔Two brokers at different
brokerage firms agreeing to charge the same commission rate
✔✔Rebates (CP-12) - ✔✔Are considered to be a negotiation or re-negotiation of
commissions
✔✔Brokers with active real estate licenses in other states can be paid - ✔✔A referral
fee as long as they have an active real estate license with business offices
✔✔Due to RESPA - ✔✔We will not accept any fee from a company pr person involved
in the settlement of real estate transaction.
✔✔Affiliated Business Aggrangements - ✔✔An agent must fully disclose the
relationship and provide a list of other companies so the client is aware that they have a
choice
