Texas Law of Agency Ch. 2 QUIZ
Special agency
A buyer representation agreement between a buyer and broker creates what type of agency...?
Real estate broker
A listing contract is signed between a principal and a...?
Confidentiality
According to this fiduciary duty, an agent must keep confidential any information that may weaken the principal's bargaining position...?
Reasonable care and diligence
According to this fiduciary duty, an agent must meet deadlines set by the principal and/or client...?
Special agent
An agent with limited authority to act on behalf of the principal is known as a...?
Material fact
Any fact that would influence the decision of a reasonably prudent person is known as a/an...?
Universal agent
David is serving as a power of attorney for Sarah. David is serving as what type of agent...?
FHA. Agent Brandy would be breaking the Fair Housing Act (FHA) because no real estate agent is allowed to discriminate against any group of people based on their race. Thus, Agent Brandy could possibly lose her real estate license and even face civil liability charges.
If Agent Brandy were to take Seller Jair's listing and agree to discriminate against any minority group, what law would Agent Brandy be breaking?
Agent Brandy must explain to Seller Jair that she cannot discriminate against anyone and if she does represent him, she has to show the property to everyone and that is the only way she will represent him. Agent Brandy cannot discriminate against anyone at all. Therefore, Agent Brandy must make Seller Jair aware of this and inform him that unless he agrees to let her show the property to everyone, she cannot represent him. If he refuses, then it is best that she refuse to list his property for her own protection.
If Agent Brandy wishes to represent Seller Jair even though he made that statement, what should Agent Brandy do in order to protect herself?
Obedience
This is a fiduciary relationship that obligates the agent to act in good faith at all times, obeying the client's instructions in accordance with the contract?
Loyalty
This is an agent's duty to place their client's interest above those of all others, including the agent's own self-interest...?
Residential Listing Agreement. Agent Brandy would need to have Seller Jair sign and complete the Residential Listing Agreement in order for her to list the property. Although she does need to have on file a signed Information about Brokerage Services, this form should have been signed at the first point of contact rather than later.
What document would Agent Brandy need to have Seller Jair sign in order to create a relationship so that Agent Brandy could sell the subject property?
Special agency
Which of the following is the most restrictive type of agency...?
