Chapter 4 Terminology Flashcards
administrative law
The body of law created by administrative agencies in the form of rules, regulations, orders, and decisions.
agent
A representative; one who is authorized to act on behalf of another.
at arm’s length
Conducting negotiations on one’s own behalf without being subject to the other party’s control or influence.
caveat emptor
Latin for “let the buyer beware”
common law
Judge-made law manifested in decrees and judgments of the courts (case law), as opposed to statutory law.
consent to transition
A written agreement to gain the principal’s permission to a change in brokerage relationship.
customer
A member of the public who is or may be a buyer or a seller of real property and may or may not be represented by a real estate licensee in an authorized brokerage relationship.
designated sales associates
Two real estate licensees designated to represent the buyer and the seller as single agents in a nonresidential transaction. The buyer and the seller must have assets of $1 million or more and sign disclosures stating that their assets meet the required threshold.
dual agency
Representing both principals in a transaction.
(Not a legal agency relationship in Florida.)
fiduciary
A person in a position of trust and confidence with respect to another person.
general agent
A representative authorized by the principal to perform only acts related to a business or to employment of a particular nature.
limited representation
Transaction brokers provide a limited form of nonfiduciary representation to a buyer, a seller, or both in a real estate transaction.
no brokerage relationship
The broker doesn’t represent the customer.
(The customer may be either the buyer or the seller.)
nonrepresentation
A no-brokerage relationship.
principal
The party employing the services of a real estate broker.
-or-
The amount of money borrowed in a mortgage loan, excluding interest and other charges.
