New York Consolidated Laws, Real Property Law - RPP § 442-c. Violations by salespersons;  broker's responsibility

No violation of a provision of this article by a real estate salesperson or employee of a real estate broker shall be deemed to be cause for the revocation or suspension of the license of the broker, unless it shall appear that the broker had actual knowledge of such violation or retains the benefits, profits or proceeds of a transaction wrongfully negotiated by their salesperson or employee after notice of the salesperson's or employee's misconduct.  A broker shall be guilty of a misdemeanor for having any salesperson associated with their firm who has not secured the required license authorizing such employment.