Can Peter sue Claire for the 5 percent commission after helping her sell her house before being licensed?

Prepare for the Indiana Real Estate Broker Exam. Study with interactive quizzes featuring multiple choice questions, hints, and detailed explanations. Get exam ready today!

In the context of real estate transactions, individuals must be properly licensed to collect commissions for services such as facilitating the sale of a property. In Indiana, like many other states, engaging in real estate activities without a valid license is prohibited and does not provide grounds for seeking commissions.

Since Peter was not licensed when he assisted Claire in selling her house, he lacks the legal standing to sue for the commission. This is because the law requires that only licensed real estate professionals are entitled to receive commissions for their services. Actions taken in the course of real estate transactions, such as facilitating sales, negotiating purchases, or representing clients, are restricted to those who have the appropriate licensure.

This understanding underscores the principle that licensure in real estate serves to protect both consumers and professionals by ensuring that all transactions are conducted by individuals who understand the legal and regulatory framework of the industry. Without that license, Peter's claim to a commission is not legally enforceable.

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