Final answer:
Upon termination of a salesperson from a brokerage, the employing broker must return the salesperson's license to the Department of Real Estate. The specific time frame varies by state, but immediate action is often required.
Step-by-step explanation:
In the context of real estate business practices, when a salesperson is terminated from a brokerage, the employing broker is required to return the salesperson's license to the Department of Real Estate (DRE). The specific time frame for this action can vary depending on state regulations. However, it is common for the requirement to be that the broker must return the license to the DRE promptly or within a specified number of business days, often ranging from immediately to about 5 days.
For example, in California, the broker must send the salesperson's license back to the DRE immediately upon termination. It is the broker's responsibility to ensure this is done in a timely manner to maintain compliance with real estate laws and regulations. Hence, it is important for both brokers and salespeople to be familiar with their state's specific requirements to avoid any legal issues that may arise from non-compliance.