3. Agency Law Flashcards
Fiduciary relationship old car
Obedience all legal requests
Loyalty always principals interest
Disclosure. Must give all to client
Confidentiality. Price. Lasts forever
Accountability. Commingling
Reasonable. Skill. Care. And Diligence
Law of Agency Broker and client or principal
Trust. Work for seller unless Buyer agreement
Dual agents if seller and buyer are aware
Owe all clients an 3rd party. Fair and honest dealings
Misrepresentations and Nondisclosure
Intentional. Active fraud. Lie
Intentional concealment. Constructive fraud
Negligent Nondisclosure.
Negligent misrepresentation Material fact you should know
Negligent advice. Should or ought to know (responsibility)
Self dealing. Undisclosed interest in deal
Creation of Agency
Listing agreement Express agreement Written or spoken or buyer agency agreement
Implied agency?
created by words or actions
Referral fees?
Legal Broker to Broker always negotiable
Sub Agent
Created through MLS Sub agent has same fiduciary to seller as listing agent
Dual Agency
All parties to transaction give informed consent in writing and agree that they are giving up rights of undivided loyalty
Agency Disclosure?
Article 12-A Must disclose agency representation at First substantive contact Mirandize the buyer Can and will be used against you
Rental broker works for?
Usually LL compensation does not = representation
Exclusive right to sell form?
Best get paid if property sells
Exclusive Agency Agreement?
Owner can sell on own and pay no commission
Open Listing
MLS NO Documents Owner can sell No good
Exclusive right to rent?
LL and broker Broker always get commission
No solisitation List?
Restrain from solisitation in designated geographic area
