Texas 30-Hour Principles of Real Estate Exam 2025 – 400 Free Practice Questions to Pass the Exam

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What does the term "group boycotting" refer to in real estate?

Setting prices collaboratively

Agreeing not to cooperate with other firms

The term "group boycotting" in real estate refers to the practice where firms or individuals agree not to cooperate with or do business with one or more other firms. This can occur in various contexts, such as when real estate brokerage firms refuse to show each other’s listings or work together in other capacities. This behavior is considered anti-competitive and can lead to violations of federal antitrust laws, as it limits options for consumers and restricts competition in the marketplace.

While setting prices collaboratively, sharing commission rates, or dividing territories among firms may evoke similar notions of cooperation, they do not precisely capture the essence of "group boycotting." Instead, these actions may suggest other forms of collusion that can also violate antitrust laws but do not specifically involve the refusal to do business with certain firms. Group boycotting is particularly notable because it directly undermines fair competition by creating barriers for cooperation in the industry.

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Sharing commission rates

Dividing territories

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