FACTS: The salesperson was contacted by a potential client about listing a commercial property.  The salesperson has worked only in residential resale transactions in the past but would like to take this commercial listing and expand into commercial transactions. 

ISSUE: May the salesperson legally take the commercial listing? 

ANSWER: See Discussion.

DISCUSSION:

A real estate license allows a licensed salesperson to practice in any area of real estate.  However, the salesperson’s services must conform to the standards of the professional community for the specific real estate discipline in which the salesperson engages.  Pursuant to Commissioner’s Rule, R4-28-1101(H): “A salesperson or broker shall not undertake to provide professional services concerning a type of property or service that is outside the salesperson’s or broker’s field of competence without engaging the assistance of a person who is competent to provide those services, unless the salesperson’s or broker’s lack of expertise is first disclosed to the client in writing and the client subsequently employs the salesperson or broker.”  Therefore, the salesperson can legally take the listing if the salesperson engages the assistance of a competent commercial practitioner or discloses the salesperson’s lack of expertise in writing to the potential client before taking the listing.