Under what conditions can a broker pay a referral fee to a person without a Colorado real estate license?

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A broker in Colorado can pay a referral fee to an unlicensed individual under the condition that the individual solely passes along a name of a potential client without engaging in any other activities that require a real estate license. This aligns with Colorado's real estate regulations, which allow for unlicensed individuals to receive compensation for the mere act of referral, provided they do not participate in licensed activities such as negotiating or representing a client in a real estate transaction.

For instance, if a person knows someone interested in buying or selling property and simply provides the broker's contact information, that individual is not performing any activities that would necessitate a real estate license. Therefore, the broker can legally compensate this person for facilitating that introduction.

The other conditions mentioned in the options relate to activities or statuses that either require licensing or do not permit any kind of involvement in licensed activities without proper authority or training. These conditions would not apply when considering the straightforward task of referring clients.

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