What is a legal action that does NOT violate license law?

Prepare for the South Dakota Real Estate Test. Ace your exam with flashcards and multiple choice questions. Each question is supported with hints and explanations to help you succeed!

The correct answer is that installing a "For Sale" sign with the seller's written permission is a legal action that does not violate license law. In real estate, it is crucial to have the property owner's consent before taking any actions that could signify that a property is for sale. This written permission ensures that the agent acts within the legal framework, respecting the rights and wishes of the property owner.

Having written consent helps demonstrate that the agent is authorized to list and market the property, which aligns with ethical standards and state licensing laws. This practice fosters trust between the agent and the seller and protects the agent from potential legal issues that can arise from unauthorized advertising.

In contrast, placing a "For Sale" sign without permission would violate license law because it directly infringes on the property owner's rights. Obtaining verbal consent is also inadequate, as many real estate laws and practices require written documentation to safeguard both parties involved in the transaction. Lastly, advertising a home without disclosing the broker’s involvement breaches legal and ethical standards of transparency in real estate practices, which could mislead potential buyers and harm the market's integrity.

Overall, having written permission is essential to ensure that all actions taken by a real estate professional are within the boundaries of the law.

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