Agency Law Flashcards
Exclusive Right To Sell Listing
An employment contract giving the broker the right to collect a commission regardless of who sells the property
Open Listing
A listing given to any number of brokers without liability to compensate except the one who first secures a buyer
*automatically terminates upon sale
Farming
Marketing services by concentrating in s geographic area
Vicarious Liability
The responsibility of one person for the acts of another
Exclusive Agency Listing
An employment contract giving only one broker the right to sell the property for a specified time and also allowing the owner to sell the property himself WITHOUT paying a commission
Net Listings
A listing in which the broker’s commission is the excess of the sale price over an agreed upon price to the seller; illegal in some states
Multiple Listings
An arrangement among s group of brokers; they agree in advance to provide information about some or all of their listings to the others and also agree that commissions on sales of such listings will be split between the listing and selling brokers
Limited Service Listing Agreement
The seller agrees to pay the broker a flat fee in advance that is non-refundable, and the broker agrees to perform certain services.
*Generally, the owner may sell to a buyer without paying a commison
Dual Agency
The licensee (agent) represents both the buyer and the seller at the same time
*agent cannot tell the seller the max price the buyer is willing to pay and cannot tell the buyer the min price the seller would accept
Transaction Broker
A broker who provides limited representation to a buyer, seller, or both
Designated Agency
Let’s the licensee’s managing broker assign one side of the transaction to a different agent within the firm
- allowed in some states
- solves the problem that occurs when a licensee has a buyer agency agreement with a prospective buyer and wants to show that prospect a house for which she also has a listing contract
