What may happen to a license holder who fails to advise a buyer about examining the property abstract before closing?

When a license holder does not advise a buyer to examine the property abstract before closing, the consequences can be significant, particularly for the license holder's professional standing. The requirement for license holders to ensure that buyers are informed about critical elements like the property abstract is rooted in the duty to protect clients’ interests.

Failing to fulfill this obligation can lead to legal repercussions, as it may be interpreted as negligence or a breach of fiduciary duty. Such actions can result in disciplinary measures from the regulatory body overseeing real estate practices, which includes the potential for license suspension or revocation. This emphasizes the serious responsibility that license holders have in maintaining informed and equitable transactions, ensuring that all parties are adequately aware of any encumbrances or legal issues related to the property before proceeding to closing.