What is the penalty for failure to maintain on file agency contracts and employment contracts?

What is the penalty for failure to maintain on file agency contracts and employment contracts?

• A. $500
• B. $100 per contract
• C. $50 per contract
• D. $1000 per contract

Answer: (B)

The rule enforces a penalty that accrues for each contract that isn’t properly kept on file. If an agency or employing broker fails to maintain these contracts, the civil penalty is one hundred dollars for every contract involved. This per-document approach ensures accountability for each agreement and scales the consequence with how many contracts are affected, rather than imposing one flat, larger amount. The other options would either overstate or understate the enforceable penalty, or apply a single lump sum instead of tying the fine to the number of contracts.

The rule enforces a penalty that accrues for each contract that isn’t properly kept on file. If an agency or employing broker fails to maintain these contracts, the civil penalty is one hundred dollars for every contract involved. This per-document approach ensures accountability for each agreement and scales the consequence with how many contracts are affected, rather than imposing one flat, larger amount. The other options would either overstate or understate the enforceable penalty, or apply a single lump sum instead of tying the fine to the number of contracts.