Illinois § 10-20

Full text of Illinois Illinois Compiled Statutes § 10-20, with citation guidance and answers to common questions.

§ 10-20.

Sponsoring broker; employment agreement. (a) A licensee may perform activities as a licensee only for the licensee's sponsoring broker. A licensee must have only one sponsoring broker at any one time. (b) Every broker who employs licensees or has an independent contractor relationship with a licensee shall have a written employment or independent contractor agreement with each such licensee. The broker having this written employment or independent contractor agreement with the licensee must be that licensee's sponsoring broker. (c) Every sponsoring broker must have a written employment or independent contractor agreement with each licensee the broker sponsors. The agreement shall address the employment or independent contractor relationship terms, including without limitation supervision, duties, compensation, and termination process. (d) (Blank). (d-5) If a written agreement provides for an independent contractor relationship that clearly states and establishes that relationship, the specific provisions of this Act shall control for licensee's conduct of brokerage activities. (e) Notwithstanding the fact that a sponsoring broker has an employment or independent contractor agreement with a licensee, a sponsoring broker may pay compensation directly to a business entity solely owned by that licensee that has been formed for the purpose of receiving compensation earned by the licensee. A business entity that receives compensation from a sponsoring broker as provided for in this subsection (e) shall not be required to be licensed under this Act and must either be owned solely by the licensee or by the licensee together with the licensee's spouse, but only if the spouse and licensee are both licensed and sponsored by the same sponsoring broker or the spouse is not also licensed. (Source: P.A. 103-1039, eff. 1-1-25.)

Frequently Asked Questions About Illinois § 10-20

What does Illinois Compiled Statutes § 10-20 cover?

Section 10-20 is part of the Illinois Compiled Statutes, the codified statutory law of Illinois. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.

How do I cite Illinois § 10-20?

A common citation format is "Illinois Compiled Statutes § 10-20" (Illinois). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.

Is this the official text of Illinois law?

No. This page is for research and education and may not include the most recent amendments. For official current law, check the Illinois official source linked on this page or consult a licensed Illinois attorney.

How does Illinois § 10-20 apply to my situation?

Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Illinois can advise on how this section applies to you. Contact your state or local bar association for a referral.

Sources & Verification

Not legal advice. Verify against the official source and consult a licensed attorney in Illinois.