Question

Seller Able accepts Buyer Bakers offer to purchase Blackacre. Broker Charlie took a $4,000 deposit from Buyer Baker. Seller Able had agreed to pay broker Charlie a $500 commission. If seller Able instructs Broker Charlie to deposit the entire $4,000 deposit in escrow, Broker Charlie should:

Answer 1

If Seller Able instructs Broker Charlie to deposit the entire $4,000 deposit in escrow, Broker Charlie should follow the instructions and deposit the full amount in the escrow account.

Step-by-step explanation:

If Seller Able instructs Broker Charlie to deposit the entire $4,000 deposit in escrow, Broker Charlie should follow the instructions and deposit the full amount in the escrow account. This ensures that the deposit is held securely and separate from the broker's own funds. The $500 commission owed to Broker Charlie by Seller Able is a separate matter and does not affect the deposit in escrow.