CH # 30__Disclosures and Consents Flashcards
If a licensee has interest in a property that is on the market, who must be informed of his or her professional status?
All parties in the transaction must be informed in writing.
How does the law view third-party licensee compensation?
A licensee must disclose, in writing, any compensation the licensee or the sponsoring broker expects to receive.
When does the law prohibit a licensee from dual agency?
A licensee is prohibited from serving as a dual agent in any transaction to which he or she, or an entity in which he or she has an ownership interest, is a party to the transaction.
In what situation is undisclosed dual agency acceptable?
When the seller client agrees
Never
When the broker approves
When two or more contemporaneous offers are made
Never
Which of the following statements best describes a contemporaneous offer?
Two or more offers being written at the same time on the same property from the same designated agent.
Two or more offers being written at different times on the same property from the same designated agent.
Two or more offers being written at the same time on different properties.
Two or more offers being written at different times on different properties from the same designated agent.
Two or more offers being written at the same time on the same property from the same designated agent.
Licensee Jim has a deal with home inspector Jake. For every client referral, Jim earns $25. When does Jim’s action become unlawful?
Jim’s action is legal, regardless of a disclosure
Jim’s action is legal if he is not working as a dual agent.
When Jim fails to inform all parties in writing.
When Jim fails to record income with the MLS board.
When Jim fails to inform all parties in writing.
When is a licensee banned from acting as a dual agent in a transaction?
A licensee is prohibited from serving as a dual agent if he or she has a personal relationship with the seller.
A licensee is prohibited from serving as a dual agent if he or she has a personal relationship with the buyer.
A licensee is prohibited from serving as a dual agent if he or she has knowledge of latent defects.
A licensee is prohibited from serving as a dual agent if he or she has an ownership interest in the property.
A licensee is prohibited from serving as a dual agent if he or she has an ownership interest in the property.
What action can a licensee take if a client refuses to approve a dual agency relationship?
A licensee may with liability withdraw from representing a client.
A licensee may withdraw the listing.
A licensee may without liability withdraw from representing a client who has not consented to a disclosed dual agency.
A licensee may without liability withdraw from representing a client who has not consented to a disclosed dual agency, but the client must pay a referral fee.
A licensee may without liability withdraw from representing a client who has not consented to a disclosed dual agency.
When is a licensee required to disclose interest?
When the licensee has more than two partners.
When the licensee closes the transaction.
When the licensee holds more than 5% owner interest.
When the licensee holds more than 1% owner interest.
When the licensee holds more than 1% owner interest.
