What is the exam-ready answer?
| Roadmap lesson | 130 of 500 |
|---|---|
| Official syllabus topic | State Laws and Rules: Education, Research and Recovery Fund |
| Official PSI group | State Laws and Rules |
| Published group count | 16 of the 52 Georgia questions |
| Exam portion | Georgia salesperson supplement |
| Source edition | PSI Georgia Candidate Information Bulletin dated July 1, 2026 |
| Law checked through | August 2, 2026 |
| Last verified | August 2, 2026 |
The Rule
PSI publishes 16, 21, and 15 items for the three Georgia groups. It does not publish a guaranteed subtopic count. The statute, current GREC rule, contract, or other cited primary authority controls each lesson.
Complete lesson
Read these concepts as one Georgia decision system. A plausible national rule can still be the wrong answer when the stem supplies a Georgia statute, instrument, role, or procedure.
Fund purpose
The fund combines education and research functions with a limited public recovery mechanism created by statute.
Claim prerequisites
A disappointed party does not receive payment merely by filing a GREC complaint. The statute requires a qualifying judgment and specified post-judgment steps.
Limits and exclusions
Recovery is capped and subject to exclusions and procedural requirements. It is not designed to reimburse every contract loss or market decline.
License consequence
A court-ordered payment from the fund can revoke the responsible license until the required repayment and other conditions are satisfied.
Decision rule
Georgia rule and national contrast
Worked Georgia example
Scenario. A buyer loses money after a licensee's fraud and files only a complaint with GREC, asking the fund for immediate reimbursement.
Reason it through. A disciplinary complaint and a recovery claim are different. The fund process requires the statutory judgment and collection steps before payment is considered.
Answer. The complaint alone is insufficient for Recovery Fund payment.
Common exam traps
- Treating the fund as insurance
- Skipping the court judgment
- Confusing discipline with compensation
- Ignoring license revocation and repayment after payment
Original practice questions with detailed explanations
These are original instructional questions mapped to the July 1, 2026 PSI outline. They are not copied from PSI or a live examination. Choose an answer before opening the explanation.
Question 1Which statement best states the Georgia rule for Georgia Real Estate Education, Research and Recovery Fund?
- A. Every consumer complaint produces an immediate Recovery Fund payment.
- B. The fund reimburses all losses in any real estate transaction.
- C. Separate the claimant's court judgment and collection path from GREC discipline, then apply statutory eligibility, exclusions, limits, and repayment consequences.
- D. Payment from the fund has no consequence for the responsible licensee.
Show answer and explanation →
Answer: C. Separate the claimant's court judgment and collection path from GREC discipline, then apply statutory eligibility, exclusions, limits, and repayment consequences.
The correct choice states the controlling rule. The other choices either remove a required element, replace Georgia authority with a generic assumption, or expand an exception beyond the cited source.
Question 2A buyer loses money after a licensee's fraud and files only a complaint with GREC, asking the fund for immediate reimbursement.
- A. Ignore the Georgia-specific fact because good intentions control.
- B. Apply the nearest national rule without checking Georgia authority.
- C. Let the participant with the strongest preference decide without following the required process.
- D. The complaint alone is insufficient for Recovery Fund payment.
Show answer and explanation →
Answer: D. The complaint alone is insufficient for Recovery Fund payment.
A disciplinary complaint and a recovery claim are different. The fund process requires the statutory judgment and collection steps before payment is considered. The correct option follows that reasoning. The distractors ignore the controlling Georgia source, substitute intent for procedure, or give decision-making authority to the wrong person.
Question 3When solving Georgia Real Estate Education, Research and Recovery Fund, what should a candidate identify first?
- A. Ask whether there is a qualifying licensee act, final judgment, unsuccessful collection effort, timely notice and application, and a loss within statutory coverage.
- B. The answer choice that sounds most ethical, without classifying the actor or document.
- C. One familiar deadline, applied to every Georgia transaction regardless of the source.
- D. A national default, even when the stem identifies a Georgia statute or GREC rule.
Show answer and explanation →
Answer: A. Ask whether there is a qualifying licensee act, final judgment, unsuccessful collection effort, timely notice and application, and a loss within statutory coverage.
The decision rule identifies the facts that control this topic. The other choices reward tone, a memorized number, or a national default while skipping the Georgia actor, document, authority, or procedure.
Mastery tracking
Mark this Georgia lesson mastered only when every statement is true.
- State the direct answer and decision rule without notes.
- Explain all four concepts and identify the controlling Georgia source.
- Solve the worked example after changing one important fact.
- Reject every listed trap and explain what makes it tempting.
- Answer all three original questions correctly and explain every distractor.
- Repeat this topic in mixed Georgia practice on a later day.
Recommended next lesson
Continue with Georgia Fair Housing Law and Federal Overlap. Continue through the roadmap from lesson 130.
Return to the State Laws and Rules hub for the complete official branch and every canonical lesson in this Georgia group.