Law of Agency Actual Questions and Correct Answers
Q1
What are the minimum services an agent must offer;
Answer: According TRELA subchapter 1101.557b states a broker representing a party
or listing real estate for sale is the party's agent and 1. May not instruct another
broker to directly or indirectly violate the sub chpt-1101.65b22, 2.Must inform the
party if the broker Receives material information related to the transaction to list,
buy, sell, or lease the parties real estate, including the receipt of an offer by the
broker; and 3. Shall, at a minimum, answer the parties questions and present Any
offered to or from the party.
Q2
What is TRELA?
Answer: It is the law that establishes the duties of a real estate licensee. > TRAC is
responsible for the administration of TRELA. TREC consists of nine members - six
brokers and three public members - who are who serve staggered terms of six years.
The governor, with the approval of the senate, appoints three replacement members
every two years.
Q3
Advice and opinions are given to whom:
Answer: Clients.
Q4
Who are the parties to agency agreement?
Answer: The seller, buyer, broker or sales associate, tenant
Q5
What is a subagent;
Answer: A Licensee holder not sponsored by or associated with the clients broker who
is representing the client through a cooperative agreement with the client broker.
Also called the other broker.
, Q6
If a principal instructs His agent to violate the law, what should an agent do?
Answer: The agent should remove himself from dealing with the principal and not
violate the law.
Q7
What is an attorney - in - fact;
Answer: a person authorized to act for another under a power of attorney. This person
is not necessarily a licensed attorney.
Q8
Under what conditions may a broker buy property listed with the broker;
Answer: Only with full disclosure to all parties in the transaction.
Q9
What is agency by ramification:
Answer: Occurs when a principal gain some benefit from a previously unauthorized act
of an agent, and the principals, on learning of the act, do not deny that the agent has
authority to perform such an act on their behalf.
Q10
A sellers subagent is working with a buyer - who does the sub agent have a fiduciary
relationship with, the buyer or the seller?
Answer: The seller.
Q11
The person receiving services, but who is not represented is called?
Answer: The customer.
Q12
May the listing agent disclose the selling motivation to a buyer;
Answer: No, that is a breach of fiduciary responsibility.
Q1
What are the minimum services an agent must offer;
Answer: According TRELA subchapter 1101.557b states a broker representing a party
or listing real estate for sale is the party's agent and 1. May not instruct another
broker to directly or indirectly violate the sub chpt-1101.65b22, 2.Must inform the
party if the broker Receives material information related to the transaction to list,
buy, sell, or lease the parties real estate, including the receipt of an offer by the
broker; and 3. Shall, at a minimum, answer the parties questions and present Any
offered to or from the party.
Q2
What is TRELA?
Answer: It is the law that establishes the duties of a real estate licensee. > TRAC is
responsible for the administration of TRELA. TREC consists of nine members - six
brokers and three public members - who are who serve staggered terms of six years.
The governor, with the approval of the senate, appoints three replacement members
every two years.
Q3
Advice and opinions are given to whom:
Answer: Clients.
Q4
Who are the parties to agency agreement?
Answer: The seller, buyer, broker or sales associate, tenant
Q5
What is a subagent;
Answer: A Licensee holder not sponsored by or associated with the clients broker who
is representing the client through a cooperative agreement with the client broker.
Also called the other broker.
, Q6
If a principal instructs His agent to violate the law, what should an agent do?
Answer: The agent should remove himself from dealing with the principal and not
violate the law.
Q7
What is an attorney - in - fact;
Answer: a person authorized to act for another under a power of attorney. This person
is not necessarily a licensed attorney.
Q8
Under what conditions may a broker buy property listed with the broker;
Answer: Only with full disclosure to all parties in the transaction.
Q9
What is agency by ramification:
Answer: Occurs when a principal gain some benefit from a previously unauthorized act
of an agent, and the principals, on learning of the act, do not deny that the agent has
authority to perform such an act on their behalf.
Q10
A sellers subagent is working with a buyer - who does the sub agent have a fiduciary
relationship with, the buyer or the seller?
Answer: The seller.
Q11
The person receiving services, but who is not represented is called?
Answer: The customer.
Q12
May the listing agent disclose the selling motivation to a buyer;
Answer: No, that is a breach of fiduciary responsibility.
