5 Written questions
5 Matching questions
- What is a Special Agent?
- Unilateral offer of subagency
- Estoppel (relating to an agency relationship)
- What are the four (4) ways to terminate...an agency relationship? Think Mr. RT, also, think together, then seperate forms of attack.
- Are agents and brokers employees or independent contractors?
- a Mutual agreement, revocation by principal, renunciation by agent, termination by operation of law
- b This agent has limited authority to do a specific thing or conduct a specific transaction. In most cases, a real estate broker is a special agent because she has only limited authority; for instance, she can only negotiate with third parties and cannot sign a contract on the seller's behalf. (She would need a power of attorney to bind the seller.)
- c For listing agreements with this term, a buyer's agent who finds a buyer is STILL a subagent of the seller, rather than agent for the buyer.
- d Real estate brokers are virtually always independent contractors in relation to their principals. And most real estate salespersons and associate brokers are independent contractors in relation to their brokers, although in rare instances they're classified as employees.
- e Principal allowed third party to believe agency relationship existed; unfair to not allow
5 Multiple choice questions
- Real estate salesperson is broker's agent (broker being principal). Broker's principal is the seller/buyer, so a salesperson representing a broker is a "subagent", aka an agent of an agent
- Under general agency law, a principal is considered to have notice of information that the agent has, even if the agent never actually tells the principal. As a result, a principal could be liable for failing to disclose a problem to a third party, even if the agent never told the principal about the problem. This rule does not apply in Washington State = Principal is NOT automatically liable for things known by his agent.
- Fiduciary! Agent stands in special position of trust and confidence for someone else.
- YES YES YES! You MUST disclose those defects as well. In fact, if the seller is trying to get you NOT to disclose them, you should refer to take the listing!
- In addition to the general duties that licensees owe to any party to whom they render services, there are specific duties that licensees owe to the parties they represent. If the agent represents the seller, these duties are owed only to the seller. If the agent represents the buyer, these duties are owed only to the buyer. If the agent is a dual agent, these duties are owed to both buyer and seller.
5 True/False questions
Duty 4: Disclosure of material facts → A licensee must disclose any material fact, if the fact is not apparent or readily ascertainable by the party.
Renunciation by agent → I QUIT!!! An agent can renounce (quit) the agency at any time. The agent may be liable for any damages caused by the breach.
Express agreement for agency → Most agencies are created by an express written agreement, such as a listing agreement or a buyer agency agreement. However, the agreement does not need to be in writing to create a valid agency, nor does the agreement have to be supported by consideration.
Duty 5: Good faith and continuous effort → Don't quit!!! Licensees must make a good faith and continuous effort to fulfill the terms of the agency agreement. For instance, a seller's agent must make a good faith and continuous effort to find a buyer for the property.
Duty 3: Present ALL written communications → If an agent's negligence or in- competence harms a third party, the agent may be liable