As a real estate agent, your license is your livelihood. But even well-intentioned professionals can run into legal trouble if they’re not careful. At Sagebrush Law Firm, we regularly work with agents and brokers across Wyoming, and we’ve seen firsthand how simple missteps can lead to disciplinary action—or worse.
Here are some of the most common legal mistakes that can jeopardize your license:
- Failing to Disclose Material Facts
If you know about defects, zoning issues, or water rights concerns—you’re obligated to disclose them. Leaving out “minor” details can result in legal action or complaints to the commission. - Unauthorized Practice of Law
Agents can fill in blanks—but interpreting contract clauses, drafting custom terms, or giving legal advice crosses the line. When in doubt, call an attorney. - Misrepresentation in Listings or Advertising
Overstating square footage, omitting easement information, or exaggerating property features can lead to claims of misrepresentation or fraud. - Improper Handling of Earnest Money
Always follow escrow rules and document the timeline clearly. Mishandling funds is a top reason agents lose their licenses. - Conflicts of Interest
Working both sides of a deal without clear disclosure—or failing to put your client’s interests first—can raise serious ethical and legal red flags.
Protect Yourself & Your Clients
Legal support isn’t just for emergencies. We help agents prevent problems before they start—with quick contract reviews, water rights due diligence, and sound advice when unusual situations arise.
This is not legal advice, instead this information is provided for educational purposes. If you have questions concerning legal matters, whether general or specific to an issue, seek legal advice from a licensed real estate attorney.