New Connecticut law limits real estate team naming

A new Connecticut law, which will take effect in January 2022, limits the naming conventions real estate teams can use in the state. In addition to registering with the state and paying an annual fee, teams must use naming that does not suggest they’re a “business entity.” For example, the law prohibits suffixes “Group,” “LLC,” and “company.” This ruling could have wider ramifications for the industry as the size and power of real estate teams proliferates across the country. In some cases, it’s difficult for consumers to tell the difference between a team and a brokerage, and this law is intended to clarify to consumers the company behind the transactions they engage in. If this becomes a trend for other states, teams will have to bear a new fee and potentially accept a less independent position in branding.