Which of the following must be documented in a broker's file when paying referral fees?

The requirement to document proof of licensure in a broker's file when paying referral fees is essential for maintaining compliance with regulatory standards in the real estate industry. This documentation ensures that all parties involved are legally permitted to engage in real estate activities, as referral fees can only be paid to individuals or entities that hold valid real estate licenses.

By having proof of licensure on file, the broker is safeguarding against potential legal challenges and maintaining the integrity of their business operations. This requirement not only protects the broker but also ensures ethical practices within the real estate market, reinforcing the importance of working with licensed professionals.

Thus, having evidence of licensure is a critical component of accountability and transparency in the transaction process involving referral fees.