Is wholesaling in Washngton State Illegal?

[Marshall Hawley]

I read another Bigger Pockets post about this but it didn't really get to the meat of the question.
I am a newbie looking to get into wholesaling in the puget sound/seattle area. I recently sent my P&S agreement and agreement to assign to a legal zoom lawyer to review. He basically just told that Washington state not only made it illegal but criminalized flipping and wholesaling properties and that you needs to be a licensed broker to wholesale houses. He said:

1. Buying and selling a property for someone else and being paid for it requires a real estate license.

and 2. You aren't allowed to purchase or flip property from someone who is behind on mortgage payments (or facing preforeclosure/foreclosure) per Washington Law RCW 61.34. And real estate property purchased from someone who is behind on mortgage payments is construed as 'equity skimming' and therefore may be illegal.

Can someone please clear this up for me? I know lots of people in washington and in the seattle area wholesale without a real estate license.
So how is everyone doing it and what makes it NOT illegal by whatever laws that some people think makes it illegal?

Thank you