Who is responsible for the actions of all salespersons under their supervision in a real estate firm?

Prepare for the New Brunswick Salesperson Test. Enhance your study experience with flashcards and multiple choice questions. Each question offers detailed hints and explanations. Gear up for your successful exam!

The correct answer highlights that in a real estate firm, the agent or manager holds the responsibility for the actions of all salespersons under their supervision. This principle is grounded in the structure of agency law, which posits that supervisors or managers are accountable for the conduct and decisions made by their subordinates within the framework of their professional duties. Because salespersons operate under the firm's license, it is the agent or manager who ensures compliance with legal standards, ethical practices, and company policies in all transactions involving their sales team.

This accountability is essential not only for maintaining the integrity of the real estate profession but also for protecting consumers and upholding trust in the market. Managers are expected to provide training, oversight, and guidance to their sales team, which helps to mitigate risks and promote best practices. Ultimately, while each salesperson must act responsibly, it is the leadership within the firm that bears the ultimate legal and ethical responsibility for the actions of the entire team.

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