*Please note: Any questions regarding Legal Hotline Spotlights should be submitted via the Virginia REALTORS® Legal Hotline. Our attorneys are unable to respond to questions through our comments section.

Q: I am the principal broker for a firm, and I recently had a licensee leave my firm to go to another firm. After they left, one of the transactions went to settlement and properly closed. How can I pay them their compensation? 

A: 18VAC135-20-280 Improper brokerage commission has the answer for us. Since you were the licensee’s broker at the time of the transaction, you can pay them directly. Conversely, you can also pay the compensation to the other firm so that it flows through that brokerage. It’s up to you how you wish to handle this.  

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