A broker must give written notification to the commission in the case of which scenario?

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The requirement for a broker to provide written notification to the commission in the case of conflicting demands for escrowed funds stems from the need to ensure proper handling of client funds and legal compliance. When a broker receives conflicting demands from parties regarding who should receive the funds held in escrow, they must notify the commission to seek guidance on how to proceed. This notification helps protect the broker legally and ensures that the rights and interests of all parties involved are respected and upheld.

In situations of conflicting demands, the broker cannot unilaterally decide how to distribute the escrowed funds without risking liability. Instead, notifying the commission is a critical step in maintaining transparency and adherence to regulations governing real estate transactions. This process can also involve seeking a resolution to the dispute through appropriate channels, ensuring that all parties have their concerns addressed fairly.

The other scenarios provided, such as receiving an earnest money deposit, completing a sale, or starting a new listing, do not typically require similar notification because they are standard steps in the real estate process where the broker is already acting in accordance with established protocols and responsibilities. These actions do not involve the same level of potential dispute or liability regarding escrowed funds that would necessitate involving the commission directly.

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