Kansas Real Estate Broker Exam — All Questions

A new environmental ordinance leaves a landowner with no economically viable use of a parcel, although the government takes no title to it. The owner's strongest constitutional claim is:

• a.The ordinance is void because zoning cannot restrict use
• b.A regulatory taking entitling the owner to payment✓
• c.Escheat has occurred and the state now owns the parcel
• d.Spot zoning, since only this parcel lost its value

Regulation that goes so far it denies an owner all economically viable use is treated as a regulatory taking, and just compensation is owed even though the government never took title. Arguing that zoning simply cannot restrict use fails, because regulating land is a valid exercise of the police power and owners have no right to the most profitable use. Escheat moves property to the state only when an owner dies with no will and no heirs, which has nothing to do with an ordinance. Spot zoning describes singling out one parcel for a different classification, not a general environmental rule applied to a class of land.

Reviewing a title report, a broker finds an old recorded covenant, written decades ago, that bars resale of the lot to members of a specified race. Its legal effect today is:

• a.It binds the buyer because it was recorded before purchase
• b.It is void, so a court will never enforce it or enjoin it✓
• c.It stays valid until the homeowners association removes it
• d.It is enforceable by the association but not by an owner

A private restriction that discriminates on a protected basis is void and unenforceable under the federal Fair Housing Act and the Civil Rights Act of 1866, so no court will order compliance or enjoin a violation, and the association has no power the courts would back. Recording rescues nothing, because an illegal restriction gains no force from sitting in the public record. No association vote is required to strip it of effect, although many states let an owner have the language formally struck. Valid CC&Rs, by contrast, are enforced privately by injunction brought by an owner or the association. A broker must never repeat or give effect to such language.

A grantor signs and notarizes a deed naming a nephew as grantee, locks it in a safe deposit box, and tells no one. The grantor later dies. What is the deed's effect?

• a.Title passed when the grantor signed the deed
• b.Title passed because the deed was acknowledged
• c.No title passed, because delivery never occurred✓
• d.Title passes when the estate later records it

A deed operates only when the grantor delivers it with the present intent to pass title and the grantee accepts, and both must happen while the grantor is alive. Signing accomplishes nothing while the instrument stays under the grantor's control in a box no one knows about. Acknowledgment before a notary serves recording, not validity, so notarizing it changes nothing here. An estate representative cannot supply the delivery the grantor failed to make, and recording an undelivered deed does not revive it. The nephew takes only through the will or the intestacy statute, which is why closings hand over the executed deed rather than merely signing it.

A deed is signed by a competent grantor and handed to a grantee who accepts it, but the grantor's signature was never notarized. As between those two parties, the deed is:

• a.Void, since notarizing is a validity requirement
• b.Valid, though it cannot be recorded as it stands✓
• c.Valid only if the grantee later pays a recording fee
• d.Voidable at the option of the grantor's creditors

Acknowledgment is a recording requirement, not an element of a valid deed. Delivered and accepted, the deed transfers title between grantor and grantee even with no notary, but the recorder will reject it, leaving the grantee exposed to later purchasers and lienholders who record first. Calling it void confuses the two ideas: validity turns on a competent grantor, an identifiable grantee, words of conveyance, an adequate legal description, the grantor's signature, and delivery and acceptance. Paying a fee cannot cure a missing acknowledgment, because the recorder cannot accept the instrument at all. Creditors of the grantor gain no power to undo a completed conveyance.

In a deed, which clause opens with the words 'to have and to hold' and defines the extent of the estate the grantee is receiving?

• a.The granting clause containing the words of conveyance
• b.The habendum clause, following the granting clause✓
• c.The acknowledgment taken before a notary public officer
• d.The legal description identifying the land conveyed

The habendum clause follows the granting clause, begins with the traditional phrase 'to have and to hold,' and spells out the estate conveyed, for example a fee simple absolute or a life estate. The granting clause holds the words of conveyance that actually transfer the interest and names the grantee. The acknowledgment is the notary's certificate that the signature is genuine, which the recorder requires but the transfer does not. The legal description identifies the land by metes and bounds, lot and block, or government survey, and it fixes what is conveyed rather than how much of an estate. Reading both clauses tells a broker exactly what the buyer is getting.

A relocation company that has owned a home for three months conveys it, warranting title only against defects that arose during its own ownership. The deed it delivers is a:

• a.Bargain and sale deed implying ownership without covenants
• b.General warranty deed covering the entire chain of title
• c.Quitclaim deed conveying only the interest actually held
• d.Special (limited) warranty deed covering the grantor's period✓

Warranting only against defects created or suffered while the grantor held title describes the special or limited warranty deed, the customary instrument for corporate, relocation, and fiduciary sellers who cannot vouch for what earlier owners did. A general warranty deed reaches back through the whole history of the property and offers the broadest protection, which is more than this seller is giving. A quitclaim carries no warranties at all and passes only whatever interest the signer happens to hold. A bargain and sale deed implies that the grantor owns the property but adds few or no covenants. A buyer taking narrower covenants should lean on an owner's title policy.

A title search shows that a seller's former spouse may still hold a possible interest in the property. What is the usual instrument used to release that interest and clear the record?

• a.A quitclaim deed from the former spouse✓
• b.A general warranty deed from the former spouse
• c.A trustee's deed issued after a foreclosure
• d.A correction deed fixing the legal description

A quitclaim releases whatever interest the signer may hold, with no warranties attached, which makes it the standard tool for removing a cloud such as a possible marital interest, a stale easement claim, or a name discrepancy. Demanding a general warranty deed asks the former spouse to guarantee title he or she may never have owned, and it is normally refused. A trustee's deed is what the trustee under a deed of trust issues to the purchaser at a foreclosure sale. A correction deed reforms a mistake in an earlier deed between the same parties and cannot release an outsider's claim.

A court-appointed personal representative sells a decedent's home during probate, and the buyer's broker asks what instrument will convey title. The answer is:

• a.A trustee's deed given after a nonjudicial foreclosure
• b.A sheriff's deed issued following a judicial sale
• c.A general warranty deed with full title covenants
• d.An executor's or personal representative's deed✓

Estate property is conveyed by an executor's deed when a will names the executor, or by a personal representative's or administrator's deed when the court makes the appointment; these deeds recite the court authority and give only limited covenants. A trustee's deed comes from the trustee under a deed of trust after a nonjudicial foreclosure sale. A sheriff's deed, called a referee's deed in some states, follows a judicial sale ordered by a court. A general warranty deed is not used, because a fiduciary will not personally guarantee title against the acts of the decedent or of owners further back in the chain.

After closing under a general warranty deed, a buyer discovers a recorded utility easement that the deed never disclosed. Which covenant did the grantor breach?

• a.Quiet enjoyment, a promise against eviction by better title
• b.Seisin, a promise that the grantor owns the estate conveyed
• c.Against encumbrances, a promise of no undisclosed burdens✓
• d.Further assurance, a promise to sign curative papers

The covenant against encumbrances promises that no liens, easements, or similar burdens exist beyond those the deed discloses, so a recorded easement left unmentioned breaches it at the moment of delivery. Seisin promises the grantor actually owns the estate being conveyed, which is not the trouble when ownership is sound but burdened. Quiet enjoyment shields the grantee from later eviction by someone holding superior title, and an easement holder's use is not an eviction. Further assurance obliges the grantor to sign additional documents needed to perfect title. A general warranty deed carries all of these along with the right to convey and warranty forever.

A neighbor has openly farmed and fenced a strip of an absentee owner's land, excluding others and never asking permission. To take title by adverse possession the neighbor must prove:

• a.Payment of the owner's property taxes for every year
• b.Open, notorious, continuous, hostile, and exclusive possession✓
• c.A written agreement signed by the record title owner
• d.A recorded deed describing the disputed strip of land

Adverse possession requires possession that is open and notorious, continuous, hostile in the sense of being without permission, and exclusive, held for the statutory period set by state law. Some states add payment of taxes or color of title, but those elements are not universal, so a broker should never assume them from another state's rule. A written agreement from the record owner would destroy the claim outright, since permission defeats hostility. Recording a deed creates no possession and cannot manufacture the required years of use. Adverse possession is one form of involuntary alienation, alongside descent, escheat, foreclosure, eminent domain, and accretion.

An owner dies leaving no will, and after a diligent search no heirs can be located. A broker asked to list the property should understand that title:

• a.Passes by devise to the beneficiaries named in a will
• b.Descends to the decedent's nearest surviving creditors
• c.Vests permanently in the administrator the court appoints
• d.Escheats to the state, an involuntary transfer of title✓

Escheat is the state's claim to property when an owner dies intestate and no heirs can be found, and it is a classic involuntary transfer rather than a voluntary one by deed or will. Devise is a gift of real property by will, so it cannot operate where there is no will and no named beneficiary. Descent carries property to heirs under the intestacy statute, but creditors are paid as claimants out of the estate and never inherit the land itself. An administrator has authority to manage and convey estate property during probate, not to own it permanently. Each state sets its own escheat procedure and waiting period.

A search reveals an old mortgage of record that was paid off but never released, and the lender no longer exists. Which step clears that cloud so title is marketable?

• a.Ordering an abstract of title with an attorney's opinion
• b.Buying an owner's title policy that insures over it
• c.Filing a quiet title action asking a court to clear it✓
• d.Recording a correction deed signed by the current seller

A quiet title action asks a court to determine ownership and extinguish a stale or unreleasable claim, which is the practical cure when the mortgagee has vanished and no release can be obtained. An abstract of title with an attorney's opinion summarizes and evaluates the recorded chain; it reports the cloud rather than removing it, and it offers no indemnity. An owner's policy may insure over a known risk, but insurance pays for loss and leaves the defect on the record for the next buyer to confront. A correction deed fixes a drafting error between the original parties and cannot release a third party's lien.

A seller deeds a parcel to one buyer and later deeds the same parcel to a second buyer, who records first. Which framework decides who owns the land?

• a.A federal recording statute applied in all fifty states
• b.The state's recording act, race, notice, or race-notice✓
• c.The order in which the two deeds were signed and dated
• d.The county recorder's discretion over competing claims

Priority between competing grantees is governed by the recording act of the state where the land lies, and the schemes differ: a pure race state protects whoever records first, a notice state protects a later purchaser who took without notice of the earlier deed, and a race-notice state protects one who took without notice and recorded first. No federal statute governs land recording. Signing dates do not decide the contest, which is precisely why a public recording system exists. Recorders act ministerially and have no power to resolve claims. Because the gap between closing and recording is the danger zone, a broker should press for prompt recording.

A buyer pays for a lender's title policy at closing and asks the broker whether it also protects the buyer's equity in the home. The correct answer is that the policy:

• a.Protects both parties equally up to the full purchase price
• b.Protects the buyer once the mortgage has been fully repaid
• c.Protects the buyer against defects arising after closing
• d.Protects only the lender, declining with the balance✓

A lender's, or mortgagee's, policy insures only the lender's security interest, and its coverage shrinks as the principal is paid down, ending altogether when the loan is satisfied. It never covers the buyer's equity, which is why a separate owner's policy is offered at closing for a one-time premium and lasts as long as the insured holds an interest. Repaying the mortgage does not convert the lender's coverage into the buyer's; it extinguishes it. And no title policy insures defects that first arise after its date. Brokers should explain this plainly before a buyer waives owner's coverage to save money.

Six months after closing, a contractor the buyer hired records a mechanic's lien against the home. The buyer files a claim under the owner's title policy. The insurer will most likely:

• a.Deny, because the defect arose after the policy was issued✓
• b.Pay, because owner's policies cover all future liens
• c.Pay, because the standard exceptions were removed
• d.Deny, because only a lender may file a title claim

Title insurance looks backward: it covers defects that already existed when the policy was issued but were not discovered or excepted, not events that happen later. A lien for work the buyer ordered after closing is a new problem the buyer must resolve directly. Buying extended coverage removes standard exceptions and broadens what is insured as of the policy date, but it does not push coverage forward in time. Owners plainly may claim under their own policies; the lender's policy is the one limited to the lender. Extended coverage typically depends on a current survey, which reveals encroachments and boundary issues a records search alone cannot.

A buyer tours a house and finds an occupant who is not the seller living there under an unrecorded lease. What kind of notice does that occupancy give the buyer?

• a.Actual notice, given by the seller's written disclosure
• b.Constructive notice, given by the public record
• c.No notice at all, since the lease was not recorded
• d.Inquiry notice, requiring the buyer to ask about it✓

Someone in possession who is not the seller puts a buyer on inquiry notice: the buyer is charged with whatever a reasonable investigation of that occupancy would have turned up, including an unrecorded lease or an option to purchase. Actual notice is what a party genuinely knows, typically from a disclosure or a conversation, and no one has told this buyer anything. Constructive notice comes from the public record, which by definition cannot reveal an unrecorded lease. Treating an unrecorded interest as invisible is the classic error, because possession is itself notice. A broker should always ask who occupies a property and on what terms.

The Kansas Real Estate Commission is made up of:

• a.Nine members named by the Kansas Association of Realtors from its board
• b.Seven members elected by the state's licensees to staggered six-year terms
• c.Five members appointed by the governor, at least three of them brokers✓
• d.Three members appointed by the state treasurer from the largest firms

K.S.A. 74-4201(a) fixes the make-up of the Commission: five members appointed by the governor, one from each congressional district and the remainder from the state at large, each a citizen and resident of Kansas for the five years before appointment. Not less than three must have been real estate brokers for five years, and not less than one must never have engaged in business as a real estate broker and may not do so while serving, so the industry majority is deliberately balanced by a public member. Successors are appointed to four-year terms under subsection (b), and K.S.A. 74-4202(a) makes a majority of the members a quorum. Nothing in the statute puts the seat in the hands of the licensees themselves, so an elected board is not how Kansas does it. The Kansas Association of Realtors is a private trade association whose officers hold no authority over licensed practice and appoint no one. And the state treasurer has no appointing role here; the appointment power belongs to the governor alone.

KREC determines that an unlicensed person has been listing and showing houses for a fee. The Commission may:

• a.Revoke that person's Kansas real estate license for the violation
• b.Issue a cease and desist order under the administrative procedure act✓
• c.Wait until a county attorney files a criminal charge in the case
• d.Order the person to pay the lost commissions into the recovery fund

K.S.A. 58-3065(c) says that if the Commission determines a person or an associated entity has practiced without a valid broker's or salesperson's license, then in addition to any other penalties imposed by law the Commission may, in accordance with the Kansas administrative procedure act, issue a cease and desist order against the unlicensed person. That subsection was added by L. 2024, ch. 63, so a guide written before it will tell a candidate the Commission's only route against an unlicensed person is a prosecution or an injunction. Revocation is not available because there is no license to revoke; K.S.A. 58-3050 operates on licensees and applicants. Waiting for the county attorney is what the new subsection exists to avoid, and K.S.A. 58-3065(b) already says the Commission need not report minor violations for criminal prosecution when other administrative action serves the public interest. The real estate recovery revolving fund pays judgment creditors of licensees under K.S.A. 58-3068; it is not a penalty account that a wrongdoer is ordered to fill.

In Kansas, a licensee who has met the broker qualifications but works under another broker rather than running a firm holds a license as a(n):

• a.Unlicensed assistant of the supervising broker
• b.Associate broker affiliated with that broker✓
• c.Property manager restricted to rentals only
• d.Provisional salesperson working toward broker

K.S.A. 58-3035(c) defines an associate broker as an individual who has a broker's license and who is employed by another broker, or associated with another broker as an independent contractor, and who participates in the activities listed in subsection (f). It is a full broker credential exercised under someone else's supervision, which is exactly the situation described. Calling that person an unlicensed assistant misses the central fact, because this licensee holds a broker's license and may perform brokerage acts an unlicensed person may not perform at all. Limiting the license to property management understates it: the qualification earned is the broker qualification and is not confined to one line of business, and K.S.A. 58-3035(j) does not even treat residential renting as a 'lease' for the act's purposes. And there is no provisional or probationary salesperson class in the Kansas act; the ladder runs salesperson, associate broker, and then the broker who supervises an office.

A Kansas broker's license expired three months ago and nothing has been filed since. The broker may now:

• a.Keep practicing under the expired license while a renewal is processed
• b.Renew at any time within two years by paying double the usual fees
• c.Apply for late renewal within six months and pay a $100 late fee✓
• d.Reapply only as an original applicant and retake both exam portions

K.S.A. 58-3045(b)(2) says that failing to file the renewal application on or before the expiration date automatically expires the license on that date, and subsection (c) supplies the cure: the Commission may reinstate and renew if, within six months following expiration, the licensee submits a late renewal application on the Commission's form with the renewal fee plus a late fee of $100. The safe-harbor in subsection (d), which lets an applicant keep operating past the expiration date while the Commission decides, applies only to an application filed in compliance with subsection (b), meaning filed on time; it does not rescue a broker who let the date pass. The two-year figure is the maximum term of a license under subsection (a), not a grace period, and the act sets no double-fee option. Retaking the examination belongs to a different rule altogether: under K.S.A. 58-3047(g) it is required only of a licensee whose license has been deactivated for a continuous period of more than five years.

Besides the Kansas Real Estate Broker Fundamentals course, an original Kansas broker applicant must complete:

• a.A 24-hour ethics and fair housing sequence taken in a classroom
• b.A 60-hour appraisal course approved by the Commission's staff
• c.A 45-hour property management practicum under a licensed broker
• d.A 30-hour Kansas real estate management course before applying✓

Kansas asks a broker applicant for two separate courses, and candidates who prepare only for the first are surprised by the second. K.S.A. 58-3046a(b) requires a Kansas real estate fundamentals course of not less than 30 and no more than 45 hours, completed within the 12 months before the application is filed. K.S.A. 58-3046a(d) then requires, for anyone applying on or after January 1, 2020, a Kansas real estate management course of not less than 30 and no more than 45 hours, completed within the six months immediately preceding the Commission's receipt of the application, and says in terms that those hours are additional to the fundamentals hours. After licensure the obligation changes shape: subsection (f) requires not less than 12 hours of approved continuing education completed during each renewal period, and subsection (l) bars issuing or renewing a license until the applicable requirements are met. The act prescribes no appraisal course, no supervised practicum, and no separate ethics sequence; a licensee may of course take such a course, but it satisfies the requirement only as approved continuing education.

A Kansas firm runs a primary office and one branch office. Under K.S.A. 58-3035, the licensee responsible for the branch is:

• a.The supervising broker, who answers for every office of the firm
• b.The branch broker, a designation separate from supervising broker✓
• c.Any associate broker assigned there, with no separate designation
• d.The office manager on site, whether or not that person is licensed

Kansas separates the two supervisory roles by definition rather than by practice. K.S.A. 58-3035(p) defines a supervising broker as an individual, other than a branch broker, who has a broker's license and has been designated as responsible for the supervision of the primary office and the salespersons and associate brokers assigned to that office. K.S.A. 58-3035(d) defines a branch broker as a broker designated to supervise a branch office and the licensees assigned to it, and K.S.A. 58-3060(b) puts the two together: a supervising broker is designated for the primary office, and each additional place of business is a branch office with a branch broker designated to supervise it. So the first option states the very thing the definition excludes with the words 'other than a branch broker.' An associate broker holds a broker's license and can be designated a branch broker, but the designation is what creates the responsibility, and K.S.A. 58-3060(c) requires the supervising broker to notify the Commission in writing within five days of any change in who is designated. An unlicensed manager cannot fill either role, because supervising licensed activity is itself licensed activity.

A Kansas supervising broker wants to do business under a trade name. K.S.A. 58-3079 requires that the name be:

• a.Filed with the register of deeds in each county the firm serves
• b.Different from the name used at the firm's own branch offices
• c.Built around the surname of at least one licensed associate broker
• d.Registered with and approved by the Kansas Real Estate Commission✓

K.S.A. 58-3079(a) requires each supervising broker who wants to do business under a trade or business name other than the broker's own name to register with and obtain approval from the Commission, and lets the Commission disapprove a name that would be misleading or confusing to the public, including where that name or a similar one is in use, or has been in use during the past two years, in the same marketing area. Subsection (b) then reverses the second option outright: a branch office shall use the same trade or business name as the primary office. The register of deeds records instruments affecting land and has no role in approving a brokerage's name. No surname requirement appears anywhere in the section. Two related provisions are worth carrying into the exam: K.S.A. 58-3042(c) ties the trade-name approval to the designation of a primary office and a supervising broker, and K.S.A. 58-3050(l) lets the Commission deny continued use of a business name that includes the name of a licensee whose license has been revoked.

How long must a Kansas broker keep the records of the broker's real estate business?

• a.Three years, in the broker's paper or digital files✓
• b.Two years from the expiration of the broker's license
• c.One year from the date the transaction file is opened
• d.Seven years, in paper form kept at the primary office

K.A.R. 86-3-10 requires each broker to retain, for at least three years, in the broker's paper or digital files, a copy of all records relating to the broker's real estate business, and then lists what that includes: real estate sales contracts, option agreements and nonresidential lease agreements handled for an owner, purchaser, lessor or lessee; closing statements; each escrow agent's receipt required by K.S.A. 58-3062(d); correspondence; and the trust account records required by K.A.R. 86-3-18. Because the regulation says paper or digital, a rule confining the file to paper at one location misstates it. The period runs from the record, not from the license, so tying it to expiration is wrong, and one year is short of the regulation. Two companion rules travel with this one on the exam: K.A.R. 86-3-22 requires a unique transaction number on each contract, option agreement and nonresidential lease and on every record kept under K.A.R. 86-3-10 and 86-3-18, and K.S.A. 58-3061(e) requires the broker to make all records relating to the real estate business available for inspection by the Commission at such time as the Commission directs.

A Kansas salesperson is arrested and charged with a misdemeanor. Commission rules require the licensee to notify KREC:

• a.In writing within 10 days of the date of occurrence✓
• b.At the next renewal of the salesperson's own license
• c.Only after a court enters a conviction on the charge
• d.Within 30 days, and then only if the charge is a felony

K.A.R. 86-3-15(a) requires each licensee to report to the Commission, in writing and within 10 days of the date of occurrence, any charge of, arrest or indictment for, plea of guilty or nolo contendere to, or conviction of any misdemeanor or any felony. The trigger is therefore the charge, not the outcome, and the duty is not confined to felonies, which disposes of the third and fourth options. The same 10-day duty covers a settlement of litigation against the licensee or a company the licensee owns in whole or part, any final judgment or dispositive order, a change of name, residence address or e-mail address on file, and any denial, suspension, revocation or other discipline of a real estate or other professional license by another jurisdiction. Waiting for renewal misses the point of a reporting rule, which is that the Commission learns of the event while it can still act. Note the separate and shorter deadline that applies to office administration: K.S.A. 58-3060(c) and (d) give a supervising broker five days to report a change of name, business or trade name, office location, or designated broker, and five days to report the closure of a primary or branch office.

Under Kansas advertising rules, a salesperson's advertisement of a listed property must:

• a.Prominently display the supervising broker's trade or business name✓
• b.Show the salesperson's own name in the largest type used on the page
• c.Be approved in writing by the Commission before it is published
• d.Carry the license number of every licensee mentioned in the ad

K.S.A. 58-3086(b) requires all advertising conducted by a licensee to be under the direct supervision of the supervising or branch broker and to include the supervising broker's trade name or business name, prominently and conspicuously displayed or announced in a readable and identifiable manner. K.A.R. 86-3-7 then goes further in the salesperson's direction and shows why the second option inverts the rule: a salesperson's or associate broker's name or team name may not use 'realty', 'brokerage', 'company' or any term suggesting a separate firm, may not be more than two times larger in font size than the supervising broker's trade or business name, and must sit adjacent to that name in any internet, website, social media or social networking advertisement. Kansas requires no pre-publication approval by the Commission and no license numbers in advertisements. Two narrow exceptions repay reading: under K.S.A. 58-3086(c) the broker's name may be omitted where unlisted property is personally owned by a licensee or the licensee has an interest in it, but subsection (e) then requires that same advertising to inform the public that a licensee owns or has an interest in the property.

K.S.A. 58-3076 lets a Kansas licensee solicit a referral fee only where:

• a.The licensee has advertised referral services in the same market
• b.An introduction of business or a contractual relationship exists✓
• c.The client has signed a written waiver of the referral disclosure
• d.The receiving broker is licensed in Kansas rather than elsewhere

K.S.A. 58-3076(a) says a licensee shall not solicit a referral fee without reasonable cause, and then defines reasonable cause exhaustively: it does not exist unless an actual introduction of business has been made, a contractual referral fee relationship exists, or a contractual cooperative brokerage relationship exists. Advertising a referral service creates none of those three, and no waiver signed by a client is contemplated anywhere in the section. Where the receiving broker is licensed is not the test either. K.S.A. 58-3038(c) preserves the right of a person properly licensed as a broker or salesperson in another jurisdiction to collect a referral fee, while K.S.A. 58-3062(a)(4) forbids paying a referral fee to any licensee, Kansas or out-of-state, if the licensee knows the payment will result in a rebate. The rest of K.S.A. 58-3076 is aimed at relocation practice: subsection (b) forbids threatening to reduce or withhold employee relocation benefits or otherwise acting adversely to another licensee's client, and forbids counseling that client on how to terminate or amend an existing agency agreement or sales contract.

Every Kansas contract for the sale of residential real estate must contain language telling the buyer:

• a.That the seller has never occupied the property as a residence
• b.Where to find information about Kansas offender registration✓
• c.The name of the title company that will close the transaction
• d.That the buyer waives any claim against the listing brokerage

K.S.A. 58-3078(a) prescribes the exact paragraph, and it has been mandatory on and after July 1, 2008: each contract for the sale of residential real estate shall contain language stating that Kansas law requires persons convicted of certain crimes, including certain sexually violent crimes, to register with the sheriff of the county in which they reside, and that a buyer who wants information about those registrants may find it on the Kansas Bureau of Investigation homepage or by contacting the local sheriff's office. Because the statute supplies the words, the requirement is a drafting item rather than a judgment call, and subsection (b) makes the section part of and supplemental to the license act, so omitting it is a license-law failure. Nothing in the act requires a statement about the seller's own occupancy or the identity of the closing agent. A waiver of claims against the brokerage would run the other way entirely: K.S.A. 58-30,106(d)(1) requires a seller's agent to disclose adverse material facts actually known even to a customer, and K.S.A. 58-3062(a)(13) makes fraud or substantial misrepresentation a prohibited act.

A Kansas supervising broker learns that a salesperson placed a misleading advertisement omitting the brokerage's name. The broker should:

• a.Have the salesperson keep running it until it is replaced
• b.Treat the advertisement as the salesperson's own business
• c.See the ad corrected and address the licensee's conduct✓
• d.Wait for the Commission to send a complaint before acting

K.A.R. 86-3-31(a) spells out what failure to properly supervise means, and two of its paragraphs land directly on these facts: (a)(6) failing to take timely action to correct or mitigate a violation of the license act, BRRETA or the Commission's regulations by an associated or employed licensee where the broker has actual knowledge of it, and (a)(8) failing to ensure that all advertising by associated or employed licensees complies with the applicable statutes, regulations and office policies. K.S.A. 58-3062(c)(3) makes failure to properly supervise a prohibited act in its own right, so the broker can be disciplined for the supervision failure separately from whatever the salesperson did. Treating the advertisement as the licensee's private affair misreads the duty, which exists precisely because the firm's name and the public are exposed. Instructing the licensee to keep running it converts an oversight failure into the deliberate direction that (a)(4) forbids. And waiting for the Commission inverts the order of things; K.A.R. 86-3-31(b) treats written policies and prompt corrective action as mitigating factors, which presupposes that the broker acts first.

Absent a written agreement of all parties setting another date, a Kansas licensee must deposit an earnest money check:

• a.On the day the buyer signs the offer to purchase
• b.Within five business days after all parties sign✓
• c.Within ten banking days of the contract's acceptance
• d.At any time before the scheduled date of closing

K.S.A. 58-3062(a)(19) makes it a prohibited act to fail to deposit any check or cash received as an earnest money deposit, or as a deposit on the purchase of a lot, within five business days after the purchase agreement or lot reservation agreement is signed by all parties, unless all parties specifically provide otherwise by written agreement, in which case the licensee deposits on the date that agreement sets. The clock therefore starts when the last signature goes on, not when the buyer signs, which is why the first option is both stricter and wrong. Ten banking days appears nowhere in the act, and leaving the deposit until closing would leave client money outside the trust account for the life of the contract. The same five-business-day period runs where the contract names a different escrow agent: K.S.A. 58-3062(d) requires the listing broker, or the buyer's broker or the transaction broker in the cases it describes, to deliver the purchase agreement and the earnest money to that escrow agent within five business days and to keep a receipt showing the date of delivery in the transaction file.

How much of a Kansas broker's own money may sit in the broker's trust account?

• a.Up to $100, to pay expenses of maintaining the account✓
• b.Up to one month's operating costs for the brokerage
• c.Nothing at all, since any broker funds are commingling
• d.Whatever the depository sets as its minimum balance

K.S.A. 58-3062(a)(2) forbids misappropriating money required to be deposited in a trust account under K.S.A. 58-3061, converting it to personal use, or commingling a principal's money or property with the licensee's own, and then carves out one figure: nothing in the paragraph prohibits a broker from having funds in an amount not to exceed $100 in the broker's trust account to pay expenses for the use and maintenance of the account. Kansas fixes that number itself rather than leaving it to the bank, so an allowance keyed to whatever minimum balance a depository happens to require is not the rule. A month of operating costs is the very use the paragraph forbids, since paying firm expenses out of trust is conversion. And an absolute bar overstates the position: the $100 allowance exists precisely so that service charges do not eat into what the broker owes the parties. K.A.R. 86-3-18(a)(6) completes the picture by requiring a separate ledger, kept current, for any broker's funds held in the trust account, so the small permitted balance is visible on its face.

A buyer offers a promissory note instead of cash as earnest money. A Kansas licensee may accept it only if:

• a.The note is endorsed by a bank or savings and loan in Kansas
• b.The broker deposits an equal sum from the trust account
• c.The note matures on or before the scheduled closing date
• d.The seller is told before accepting and the contract says so✓

K.S.A. 58-3062(a)(18) makes it a prohibited act to accept anything other than cash as earnest money unless that fact is communicated to the owner prior to the owner's acceptance of the offer to purchase, and unless the fact is shown in the purchase agreement. Both conditions are required, and both are about the seller's information rather than the instrument's quality: the seller has to know what is actually backing the offer before deciding on it, and the record of the transaction has to show it. Nothing in the paragraph asks who endorses the note or when it matures, so a bank endorsement or a maturity date before closing does not cure the omission. Covering the note with the broker's own funds is worse than useless: K.S.A. 58-3062(a)(2) confines the broker's money in the trust account to $100 for account maintenance, and paying out of trust for a party's benefit is conversion. The five-business-day deposit deadline in K.S.A. 58-3062(a)(19) reaches 'any check or cash received', so a properly disclosed note is documented in the file rather than deposited.

Placing a 'For Sale' sign on a Kansas property is a prohibited act unless the licensee has:

• a.A signed listing agreement with any co-owner of the property
• b.Filed a copy of the listing with the Kansas Real Estate Commission
• c.Verbal permission from an occupant of the property to post it
• d.The written consent of the owner or the owner's authorized agent✓

K.S.A. 58-3062(a)(7) makes it a prohibited act to place a sign on any property offering it for sale or lease without the written consent of the owner or the owner's authorized agent. The statute names the form of the consent, so verbal permission does not satisfy it, and it names the source, so permission from an occupant who is neither the owner nor the owner's authorized agent is not permission at all. A listing signed by one co-owner is not consent from 'the owner' where others hold title, and in any event the paragraph is about the sign, not the listing. The Commission does not collect copies of listings and nothing in the act asks a licensee to file one. The neighboring paragraph is usually tested with this one: K.S.A. 58-3062(a)(8) forbids offering real estate for sale or lease without the knowledge and consent of the owner or the owner's authorized agent, or on terms other than those the owner authorized, so the sign rule is one instance of a wider principle that the owner controls what is offered and how.

K.S.A. 58-3062 requires a Kansas licensee to disclose closing costs to:

• a.The buyer when an offer is made and the seller when it is presented✓
• b.Both parties at the closing table before any funds change hands
• c.Both parties within three business days of contract acceptance
• d.Only the party the licensee represents, and only if asked to

K.S.A. 58-3062(a)(16) makes it a prohibited act to fail to inform both the buyer, at the time an offer is made, and the seller, at the time an offer is presented, that certain closing costs must be paid and the approximate amount of those costs. The duty therefore has two different moments built into it, one for each side, and both fall at the front of the negotiation rather than at the end. Disclosure at the closing table delivers the figures after every decision that depended on them has been taken, and a three-business-day window after acceptance has the same defect and appears nowhere in the section. The last option misreads the paragraph twice: it is owed to both the buyer and the seller regardless of who the licensee represents, and it is owed whether or not anyone asks. Notice that this duty sits in the prohibited acts section and so binds a licensee acting as an agent, as a transaction broker or as a principal, which the opening words of K.S.A. 58-3062(a) say expressly.

A Kansas salesperson receives an earnest money check from a buyer. The salesperson must:

• a.Deposit it in the salesperson's own account and tell the broker
• b.Endorse it to the seller if the seller is a customer of the firm
• c.Place it in the custody of the broker as soon as practicable✓
• d.Hold it until acceptance and then deliver it to the title company

K.S.A. 58-3062(b)(2) makes it a prohibited act for a salesperson or associate broker to fail to place, as soon after receipt as practicable, any deposit money or other funds entrusted to that licensee in the custody of the broker the licensee represents. The money moves to the broker, because it is the broker who is accountable for it: K.S.A. 58-3061(a) requires the broker to maintain the separate trust account into which all down payments, earnest money deposits and advance listing fees are deposited. A salesperson's own account defeats that arrangement whether or not the broker is told, and endorsing the check to the seller ignores that the deposit's destination is not yet settled, since K.S.A. 58-3061(g) allows disbursement only on the written authorization of buyer and seller, on a court order, or when the transaction closes. Where the contract names an outside escrow agent, K.S.A. 58-3062(d) still routes the delivery through the broker within five business days and requires a receipt in the file. The companion deadline in K.S.A. 58-3062(b)(6) gives the licensee 10 business days to submit to the supervising or branch broker any document that must be kept in the broker's transaction records.

At closing, a Kansas broker who handled the receipts and disbursements must:

• a.File a copy of the settlement sheet with the Commission's office
• b.Retain the only signed copy of the statement in the broker's file
• c.Deliver a complete, detailed closing statement to seller and buyer✓
• d.Have the statement reviewed by an attorney before it is signed

K.S.A. 58-3062(c)(2) makes it a prohibited act for a broker to fail to deliver to the seller, at the time the transaction is closed, a complete and detailed closing statement showing all of the receipts and disbursements the broker handled for the seller; to fail to deliver to the buyer a statement showing all money received from the buyer and how and for what it was disbursed; or to fail to retain true copies of those statements in the broker's files. The parties get statements and the broker keeps copies, so retaining the only signed copy inverts the second half of the rule, and K.A.R. 86-3-10(b) independently requires closing statements to be kept for three years. The duty is relieved only in one way, which the paragraph itself supplies: where an escrow agent furnishes the statements to the seller and the buyer, the broker's responsibility to them is discharged. Kansas does not require the statement to be filed with the Commission or reviewed by counsel, although K.A.R. 86-3-9 does require the broker to recommend that each client or customer retain an attorney for any legal questions in the transaction.

For a violation of the Kansas license act, KREC may impose a civil fine of up to:

• a.$500, and no more whatever the circumstances of the case
• b.$1,000 a violation, or $5,000 with aggravating circumstances✓
• c.$10,000 per violation once a full hearing has been held
• d.$2,500 per violation, plus the costs of the investigation

K.S.A. 58-3050(d)(1) lets the Commission, in addition to or in lieu of any other remedy and on a finding that a licensee violated the license act, BRRETA or the regulations under either, impose a civil fine not exceeding $1,000 for each violation. Paragraph (d)(2) raises the ceiling to $5,000 per violation where the Commission makes specific findings that aggravating circumstances exist and that the licensee misappropriated another person's funds, engaged in fraud or substantial misrepresentation, misstated the sale price or terms to a lender or other interested party, committed forgery or signed for another without a power of attorney, or intentionally failed to disclose known adverse material facts. Subsection (e) defines aggravating circumstances as conduct involving fraud or deceit together with substantial loss or risk of loss, substantial gain to the licensee, or a history of similar discipline. Investigation and prosecution costs are not an add-on ceiling as the last option suggests: K.S.A. 58-3050(m) recovers them out of the fine already imposed. And $10,000 belongs to the criminal track, where K.S.A. 58-3065(a) sets that maximum for a second or subsequent willful violation.

A Kansas broker works with a buyer but signs no agency agreement. Under BRRETA the broker is:

• a.A transaction broker, which is the act's default relationship✓
• b.An implied agent of the buyer under common-law principles
• c.A subagent of the seller until an offer is actually made
• d.Free of any duty to the buyer and owed none in return

K.S.A. 58-30,103(c) settles this in one sentence: a broker may be engaged as a transaction broker by oral or written agreement, and a broker shall be considered a transaction broker unless an agency relationship with the party to be represented is established under that section, or the broker works with a buyer or tenant as a subagent of the seller or landlord by accepting an offer of subagency. Kansas therefore supplies its own default and does not fall back on the common-law implied agency the second option describes, which is the single most important difference between Kansas agency law and the general principles taught on the national portion. Subagency exists here but only where an offer of subagency has been accepted, and K.S.A. 58-30,106(g) makes such an offer something the seller must authorize in writing, so it does not arise by itself. And the default is not a no-duty relationship: K.S.A. 58-30,113(b) still requires the transaction broker to perform the agreement, exercise reasonable skill and care, present all offers, account for money in a timely manner, keep the parties informed and disclose adverse material facts.

Under Kansas BRRETA, a 'transaction broker' is a licensee who:

• a.Must obtain written consent to represent both sides as a dual agent
• b.Represents the seller exclusively in every transaction handled
• c.Is barred from preparing any of the paperwork for a transaction
• d.Assists one or both parties without being the agent of either✓

K.S.A. 58-30,102(u) defines a transaction broker as a broker who assists one or more parties with a real estate transaction without being an agent or advocate for the interests of any party to the transaction, and says the term includes the broker's affiliated licensees. K.S.A. 58-30,113(a) states the same point from the other side: a broker engaged as a transaction broker shall not act as an agent for either party. Written consent to represent both sides describes dual agency, which is a different relationship and one K.S.A. 58-30,103(a) forbids outright in Kansas; the transaction broker sidesteps the conflict by not being an agent at all rather than by obtaining consent to it. Exclusive representation of the seller describes the seller's agent under K.S.A. 58-30,102(q). And neutrality is not paralysis: K.S.A. 58-30,113(b)(2)(E) expressly requires the transaction broker to assist the parties in complying with the terms and conditions of any contract, including closing the transaction.

A Kansas transaction broker's listing is already under contract when a second offer arrives. The transaction broker must:

• a.Present it, because offers go forward even under contract✓
• b.Present it only if the seller asked to see later offers
• c.Hold the offer until the first contract falls through
• d.Return it to the buyer's licensee without telling the seller

K.S.A. 58-30,113(b)(2)(A) says that exercising reasonable skill and care as a transaction broker includes presenting all offers and counteroffers in a timely manner, even when the property is subject to a contract of sale. The words 'even when' leave no room for holding an offer back or returning it unseen, and the obligation is not conditioned on the seller having asked. The comparison with statutory agency is where candidates go wrong. K.S.A. 58-30,106(a)(2)(A) requires a seller's agent to present all offers received before closing unless the seller instructs the broker in the agency agreement not to submit offers after one has been accepted, so the agent's version of the duty can be limited in the written agreement while the transaction broker's version, as drafted, is not. K.A.R. 86-3-23(a) fills in the surrounding practice: a listing agreement may say the broker need not keep marketing the property after acceptance, but acceptance by itself does not end the duty to submit offers. K.A.R. 86-3-23(b) adds that unless a later offer is contingent on termination of the existing contract, the licensee should recommend the seller obtain legal advice before accepting it.

Without the parties' consent, a Kansas transaction broker in a single-family sale may not reveal:

• a.That the title shows a mortgage never formally released
• b.That the roof leaked during the last heavy rainstorm
• c.That the property sits inside a special assessment district
• d.That the seller would take less than the asking price✓

K.S.A. 58-30,113(f) lists five things a transaction broker shall not disclose without the consent of all parties in a transaction other than commercial property or residential property of more than four units: that a buyer or tenant will pay more than the price or rate offered, that a seller or landlord will accept less than the asking price or rate, the motivating factors of any party, that a party will agree to financing terms other than those offered, and any personal confidence that would place the other party at an advantage. The other three options describe adverse material facts, which run the opposite way: K.S.A. 58-30,113(b)(2)(F) requires the transaction broker to disclose to prospective buyers and tenants all adverse material facts actually known, and names the physical condition of the property, material defects in the property and material defects in the title among them. The mirror rule is worth carrying into the exam: under subsection (g), on commercial property or residential property of more than four units those same price, motivation and financing facts may be disclosed unless the parties prohibit it, while personal confidences remain protected.

Under Kansas BRRETA, a licensee must give a consumer the brokerage relationships brochure:

• a.At the first practical opportunity in the relationship✓
• b.Only where the consumer is not represented by an attorney
• c.Within 30 days after the transaction has finally closed
• d.Only at the closing of the transaction, with the contract

K.S.A. 58-30,110(a)(2) states the timing as a standard rather than as a description of what the consumer has said or done: except in the situations listed in subsection (a)(3), a licensee shall furnish a prospective buyer or seller with the brochure at the first practical opportunity. That is deliberately early, because a consumer who does not yet know whether the licensee is a statutory agent or a neutral transaction broker cannot judge what is safe to say about motivation, timing or the most he or she will pay. A deadline after closing delivers the information when nothing can be done with it, and delivery at closing is barely better, since every negotiation has already happened. The duty does not turn on whether the consumer has a lawyer; it is owed to prospective buyers and sellers generally. Subsection (a)(4) then requires acknowledgment of receipt by the seller and buyer to be included in any contract for sale, and K.A.R. 86-3-26 adopts the Commission's 'real estate brokerage relationships' brochure by reference while allowing a firm to design its own containing at least the same information.

A Kansas licensee need not give a prospective buyer the brokerage relationships brochure when:

• a.The buyer is already working with a licensee from another firm
• b.The buyer has toured the property once with the seller present
• c.The transaction is the sale of the property by public auction✓
• d.The buyer says that the brochure is neither wanted nor needed

K.S.A. 58-30,110(a)(3) sets out six situations in which the brochure is not required, and a sale by public auction is one of them. The complete list is: the licensee is acting solely as a principal and not as an agent for another; the communication from the licensee is a solicitation of business; the transaction is the sale of commercial property or the sale of residential property of more than four units; the transaction is the sale of property by public auction; the licensee is only performing ministerial acts; or the customer or client has already received the brochure from the licensee's brokerage firm. The list is closed, so the other three options are not on it, and the sixth exception repays close reading, because it turns on receipt from the same firm and not on receipt from any licensee, which is what the first option would need. A consumer cannot waive the requirement by saying it is unwanted, and touring the property is not one of the listed events. K.S.A. 58-30,102(p) defines the ministerial acts that trigger the fifth exception, including answering questions about price or availability, setting an appointment to view, attending an open house, and referring a person to another broker.

In Kansas, a licensee acting as a dual agent for both buyer and seller is:

• a.Allowed with the informed written consent of both parties
• b.Allowed where the supervising broker signs the disclosure
• c.Prohibited: BRRETA bars a licensee from acting as a dual agent✓
• d.Barred only where the property exceeds four dwelling units

K.S.A. 58-30,103(a) says that except when acting as a transaction broker or solely as a seller, buyer, landlord or tenant, a broker shall act only as a statutory agent in any real estate transaction, and then adds the flat prohibition: a licensee shall not act as a dual agent or in a dual capacity of agent and undisclosed principal in any transaction. Kansas supplies no consent route out of that, which is exactly what distinguishes it from the consent-based dual agency taught on the national portion and permitted in many other states, so the first two options describe the wrong jurisdiction. The bar is not limited by property type either. Kansas handles the in-house transaction two other ways: under K.S.A. 58-30,109(a) the firm may act as a transaction broker with the informed consent of the seller client and the buyer client, evidenced by the transaction broker addendum adopted in K.A.R. 86-3-27, or under subsection (b) the broker may designate separate affiliated licensees as the agents of each side. K.A.R. 86-3-31(a)(2) treats allowing an affiliated licensee to engage in dual agency as a failure of supervision by the broker.

One Kansas firm has a designated agent for the seller and another for the buyer. Their supervising broker:

• a.Becomes a dual agent of both clients at the same time
• b.Acts as a transaction broker in that same transaction✓
• c.Must withdraw from the transaction entirely at that point
• d.Represents whichever of the two clients signed on first

K.S.A. 58-30,109(b)(1) lets a broker, personally or through a duly authorized licensed representative, designate in the written agency agreement one or more affiliated licensees to act as the legal agent of the buyer client or the seller client to the exclusion of all other affiliated licensees, and (b)(3) gives a seller's designated agent the duties in K.S.A. 58-30,106 and a buyer's designated agent the duties in K.S.A. 58-30,107. Paragraph (b)(4) answers this question directly: in any transaction involving a designated agent, the supervising broker of that designated agent shall act as a transaction broker, unless both buyer and seller are represented by designated agents supervised by the same branch broker, in which case the branch broker takes that role; either may instead appoint another affiliated licensee to act as the transaction broker. Becoming a dual agent is the one thing Kansas will not allow, under K.S.A. 58-30,103(a). The broker neither withdraws nor picks a side, and paragraph (b)(5) confirms that the relationship continues, since a designated agent may disclose a client's confidential information to that supervising or branch broker in order to seek advice for the client's benefit.

A Kansas broker who will represent a buyer must have the written agency agreement signed:

• a.Before the buyer is shown any property by that firm
• b.No later than the signing of an offer to purchase✓
• c.Within three days after the buyer's offer is accepted
• d.Before the buyer is handed the relationships brochure

K.S.A. 58-30,103(e) sets the buyer-side deadline: to establish an agency relationship with a buyer or tenant, a broker shall enter into a written agency agreement with the party to be represented no later than the signing of an offer to purchase or lease. The seller side is stricter, which is why the first option is a real trap rather than an obvious one: under subsection (d)(1) a broker intending to establish an agency relationship with a seller or landlord must have the written agreement before the licensee engages in any of the activities listed in K.S.A. 58-3035(f) on that owner's behalf, with a narrow exception in (d)(2) for property owned by a federal agency, where verbal authorization from the agency will do. Showing property is therefore not the trigger on the buyer side, and until the agreement exists the broker is a transaction broker by default under subsection (c). Three days after acceptance is too late to create an agency that governed the negotiation. And the brochure has its own timing rule in K.S.A. 58-30,110(a)(2) and is not tied to the agreement at all.

Under BRRETA, every Kansas agency or transaction brokerage agreement must state:

• a.The commission split with any cooperating brokerage
• b.An automatic renewal term of at least ninety days
• c.The lowest price the client is willing to accept
• d.A fixed date on which the relationship expires✓

K.S.A. 58-30,103(f) requires the agreement to set forth the terms and conditions of the relationship, including a fixed date of expiration, any limitation on the duty of confidentiality and the terms of compensation, and to refer to the duties and obligations under K.S.A. 58-30,106, 58-30,107 or 58-30,113 as applicable. It must be signed by the party represented and by the broker or an affiliated licensee, and a copy must be furnished to the client or customer when they sign. K.A.R. 86-3-8 then rules out the second option in terms: no written brokerage agreement may contain a provision that automatically extends the term beyond the expiration date. What a cooperating broker is paid is a matter for the broker to arrange under K.S.A. 58-30,105(d)(2), which requires the client's written agreement to the sharing but does not make the split a term of the client's own agreement. And the least a client would accept is confidential information within the meaning of K.S.A. 58-30,102(i), protected rather than recorded. Two further prohibitions sit in the same section: subsection (i) bars authorizing the broker to sign for the client or act as attorney-in-fact, and subsection (k) bars transferring the agreement to another broker without every party's written consent.

A Kansas listing agreement may not provide that the broker:

• a.May cooperate with and compensate other brokers
• b.Earns a commission if the seller finds the buyer
• c.Is paid the gross price less the seller's net proceeds✓
• d.Will market the property through a listing service

K.S.A. 58-30,103(j) says an agency agreement or written transaction brokerage agreement with a seller shall not provide that the broker's commission be based on the difference between the gross sales price and the net proceeds to the owner. That is the net listing, and Kansas bans it outright rather than regulating it, because it gives the broker a private interest in a higher price that the seller never sees. The other three are all permitted. K.S.A. 58-30,106(g) to (i) let a seller agree in writing that the broker may offer subagency, or cooperate with and compensate a buyer's or tenant's agent, or cooperate with and compensate a transaction broker, and subsection (j) then bars the broker from refusing to let another licensee show the property or from withholding a written offer unless the seller has instructed otherwise in writing. Payment even where the seller produces the buyer is the defining feature of the exclusive right to sell agreement defined in K.S.A. 58-30,102(m). Marketing through a listing service is ordinary practice, and K.S.A. 58-3037(f) exempts a multiple listing service wholly owned by a nonprofit association of brokers from the license act altogether.

After a Kansas transaction closes, the broker's duties to a former client are limited to:

• a.Accounting for money and keeping confidences confidential✓
• b.Nothing at all, once the commission has been received
• c.A one-year duty to answer questions about the property
• d.Whatever duties the multiple listing service imposes

K.S.A. 58-30,104(a)(2) says that except as otherwise agreed in writing, a broker owes no further duties to the client after termination, expiration or the closing of a transaction according to the parties' agreement, except to account for all moneys and property relating to the engagement and to keep confidential all confidential information received during it. The confidentiality obligation lifts only if the client permits disclosure by subsequent word or conduct, disclosure is required by law, or the information becomes public from a source other than the broker. Subsection (b)(2) applies the same surviving pair to a transaction broker and the parties it served. So duty does not simply end when the commission is paid, and there is no statutory one-year tail of any kind. A private listing service's rules are contractual obligations between its members, not the license law the Commission enforces. Subsection (a)(1) is worth reading alongside this one: the relationship runs from engagement until closing, or if the transaction does not close, until the earlier of the expiration date agreed in the agreement or any authorized termination.

A Kansas seller agrees to pay the buyer's broker. Under BRRETA that payment:

• a.Does not by itself create an agency with the seller✓
• b.Makes the buyer's broker a subagent of that seller
• c.Requires the buyer's consent again after the closing
• d.Must be reported to the Commission within ten days

K.S.A. 58-30,105(b) states the rule plainly: payment of compensation by itself shall not establish an agency between the party who paid the compensation and the broker or any affiliated licensee. Subsection (a) presumes compensation comes from the transaction and leaves the amount to the agency or transaction brokerage agreements made under K.S.A. 58-30,103, and subsection (c) allows the broker's compensation to be paid by the seller, the landlord, the buyer or the tenant, and by more than one of them if the parties consent in writing to the multiple payments at or before the time of entering into the contract, which is why consent after closing is the wrong moment. Subagency is not a by-product of who signs the check; it arises only where a seller has authorized an offer of subagency under K.S.A. 58-30,106(g) and the other broker accepts it, as K.S.A. 58-30,103(c)(2) contemplates. And nothing in the act requires the Commission to be told about a compensation arrangement, although K.S.A. 58-30,105(d)(3) does require written disclosure to the client of any financial interest the broker has in a brokerage firm receiving a referral fee.