Tennessee Real Estate Practice Exam

If an individual practices as a broker or affiliate broker without a license, what type of legal issue is this considered?

1. Felony

2. Misdemeanor

3. Civil violation

4. Infraction

The correct answer is: Misdemeanor

Practicing as a broker or affiliate broker without a license in Tennessee is classified as a misdemeanor. This classification reflects the seriousness of the offense, as it involves the unauthorized practice of a profession that is regulated for the protection of public interest. The law requires individuals to obtain the necessary licensure to ensure they meet certain standards and maintain ethical practices in real estate transactions. A misdemeanor typically carries less severe penalties compared to a felony but still represents a criminal violation, which may result in fines and possibly jail time. In this context, other classifications, such as a felony, civil violation, or infraction, would not be appropriate. A felony is a more serious crime that often involves harsher penalties, while a civil violation pertains to non-criminal breaches typically addressed through civil litigation rather than criminal prosecution. An infraction is usually the least severe form of law violation and often involves minor fines without criminal penalties. Therefore, recognizing the nature of practicing real estate without a license as a misdemeanor accurately reflects the legal implications imposed by state laws in Tennessee.