Hawaii Real Estate State Practice Exam

Should an independent contractor adhere strictly to the broker's schedule for floor duty and open houses?

1. True

2. False

3. Only during active listings

4. Yes, but only during working hours

The correct answer is: False

An independent contractor in real estate operates with a degree of autonomy that differentiates them from employees. This independence means that while brokers can provide guidance and suggest schedules for activities like floor duty and open houses, independent contractors are not required to adhere strictly to these schedules. Independent contractors typically manage their own time, decide how to fulfill their responsibilities, and create their own strategies for growing their business. They might choose to participate in open houses and floor duty as a part of their marketing efforts, but the broker cannot enforce these commitments in the same way as they would with an employee. Understanding this distinction is crucial for both the contractor and the broker, as it impacts the operational dynamics of their professional relationship. The flexibility afforded to independent contractors allows them to tailor their schedules according to personal preferences and client needs rather than strictly conforming to the broker's directives.