Illinois Leasing Agent Practice Exam

Who is eligible to collect damages from the real estate recovery fund maintained by IDFPR?

1. Any licensed real estate agent

2. Any person who suffered a loss based on a licensee's conduct

3. Only those who can prove negligence

4. Only clients of the licensed agent

The correct answer is: Any person who suffered a loss based on a licensee's conduct

The eligibility to collect damages from the real estate recovery fund maintained by the Illinois Department of Financial and Professional Regulation (IDFPR) is extended to any person who has suffered a loss due to the conduct of a licensed real estate professional. This ensures that the recovery fund serves its primary purpose, which is to provide financial protection and recourse for individuals who have been adversely affected by unethical or illegal actions of real estate agents. By allowing any person who has experienced loss—rather than restricting it to specific groups—this approach broadens the safety net available to consumers, reinforcing confidence in the real estate industry. This includes instances of fraud or misrepresentation where individuals might otherwise have limited options for recovery. Other options suggest more restrictive eligibility criteria, which do not align with the intent of the recovery fund to protect the public. Therefore, the correct answer accurately reflects the wider scope of accountability and support intended by the real estate recovery fund legislation.