Question #1 - 50 points

(a) What, if any, actions violate Pennsylvania licensing law? (1-2 pages)

(b) The facts state that Khat paid Hoek a fee. Was he required to do so? (2-3 sentences).

Ren Hoek is a licensed Pennsylvania salesperson who works for Broker Mudskipper. Without notifying Broker Mudskipper, Hoek entered into a verbal agreement with Stimpson J. Khat, an old friend, who owned a home in desperate need of repair in a slowly gentrifying neighborhood.

The house was an inexpensive handyman special.

Per their agreement, Hoek found someone in his social network who was interested in purchasing the property. Hoek introduced Khat to Ben Horse who was interested in purchasing the property for cash. They all met in the kitchen of Hoeks residence to work out an agreement of sale.

Before the transaction was consummated, Horse gave Hoek a deposit in the amount of $1,350.00 which Hoek placed in his personal bank account until settlement.

After the property was sold by Khat to Horse, Khat paid Hoek a fee in the amount of $2,000.00 for his assistance in drafting the agreement of sale, for composing and filing the deed which transferred the property from him to Horse, and for introducing him to Horse.

During the real estate transaction, Horse did not have representation.

Horse was referred to Hoek by Corn N.T. Cobb, a former client of Hoek. After the real estate transaction was completed, Hoek gave Cobb a fee in the amount of $350.00 for the referral.