What is the status of a person's license after a claim has been paid from the Real Estate Recovery Fund to settle a claim against that license?

An active status indicates that a licensee is currently authorized to engage in real estate activities. However, once a claim has been paid from the Real Estate Recovery Fund, the licensee's status changes to suspended, reflecting the serious implications of their actions that necessitated the claim.

An inactive status means that a licensee is not currently practicing but retains their license. This status does not result from a claim being paid from the Recovery Fund, which instead leads to a suspension, indicating that the licensee is barred from practice due to the settlement of a claim against them.

Reinstatement refers to the process of restoring a previously suspended or revoked license after fulfilling specific requirements. However, when a claim is paid from the Real Estate Recovery Fund, the license is not reinstated automatically; it is initially suspended, and further action is required for reinstatement.