Under the Rules of Agency, what action may NOT be taken by a title insurer when a title agent violates fiduciary duties?

The selected answer pertains to the limitations of actions a title insurer can take in response to a title agent violating fiduciary duties. Under the rules governing agency relationships, a title insurance company primarily has the authority to govern the agents it appoints, which includes actions like terminating their appointment for violations of fiduciary obligations or seeking indemnification if financial harm occurs as a result of the agent's actions.

However, the revocation of an agent's license is not within the purview of the title insurer; this action is typically handled by a state regulatory agency or a licensing board. Revocation of a professional license is an administrative action that requires due process and is outside the title insurer's direct control. Therefore, while the insurer can take certain corrective or punitive actions regarding the agent, revoking the agent’s license is beyond the scope of options available to them. This delineation ensures that the regulatory authority maintains jurisdiction over licensing matters, which protects the integrity of the licensing process within the industry.