Law of Agency Chapter 1 Latest Update Graded A

Law of Agency Chapter 1 Latest Update Graded A One person acting on behalf of another is An agency relationship Which entity may act independently in conducting a real estate transaction? Broker Agents must act in the best interest of the parties they represent In which of the following situations might an unintended agency relationship be formed? A broker representing a seller provides a customer advice on making an offer. unlike an agent, a fiduciary handles money, property for the client Bradley is a broker who sponsors salespersons Sam, Seth, and Sally. Sally is working with client Clara to sell her home. Which of these individuals is (are) the agent(s) for Clara in this transaction? Bradley A broker who assumes responsibility for the real estate brokerage activities of a salesperson is called a Sponsoring broker Which of the following is NOT a growing trend in real estate transactions? lower customer expectations A licensee who represents the client through a cooperative agreement with the client's broker is a subagent a licensee working with a buyer-customer could NOT recommend a negotiating strategy Jane Huang, a sales associate for Windy Pines Real Estate, has a listing contract to sell Suzi Lopez's office building. Jane also has agreed to work with Harry Regis in his attempt to purchase the building. The client(s) is (are)? Suzi Lopez Who is responsible for representing a buyer-customer's interest in the purchase of a home? the customer Can the buyer in a real estate transaction ever be considered a client? Yes, if the buyer has a buyer's agent A licensee is prohibited from performing which of the following for a customer? Handling the customer's money Which of these is not a type of agent? Customer's agent Broker Ben is working for his client, Cathy, in the sale of Cathy's condominium. A customer visited Ben and asked for the minimum offer that Cathy would likely to accept for the property. Can Ben advise the customer to offer $3,000 below asking price, which Cathy will be happy to accept? No, Ben cannot provide advice to the customer Which of the following parties to a real estate transaction is sometimes called the principal? Client A law enacted by the legislature is statutory law Which is not a reason for studying agency law? increased commission fees nearly every state requires Written or oral disclosure of agency A main purpose of TRELA is to establish duties of licensees in dealing with the public The Texas Real Estate Commission consists of six broker-members and three public members Which of the following is the source of the funds that support the Texas Real Estate Commission (TREC)? Licensing fees How do TREC commissioners get their positions? Appointment by the governor TREC is best described as an agency that protects consumers Where in the Texas Administrative Code are the rules pertaining to real estate professionals? Title 22 A licensee involved in undisclosed dual agency relationship may lose his license caveat emptor ('let the buyer beware') is becoming less important as courts put more responsibility on the licensee for disclosure When a real estate licensee acts as an agent for a buyer or seller, the licensee acts in which of the following capacities? Fiduciary Which of the following is authorized to promulgate statutes regarding the licensing of real estate agents in Texas? The Texas Legislature One of the principals to a real estate transaction is considered which of the following? A party To a real estate agent, the difference between a client and a customer is best described by which of the following statements? The agent has a fiduciary duty to a client and a duty of fairness to a customer The information about Brokerage Services statement is best described by which of the following statements? It is information that must be provided in writing Dealing honestly and fairly with a customer means that a licensee has a duty to convey accurate information Appraisal management companies are regulates by which of the following agencies? TALCB Which of the following terms is synonymous with the term "client" None of these things