Chapter 6 Review (Agency) Flashcards
A listing contract
Serves as a n employment agreement between a broker and a seller.
In some cases a broker’s commission can be earned if the broker can prove he set in motion a series of events that resulted in the sale. To do so means the broker…
Was the procuring cause of sale.
When a salesperson performs the duties of a licenses, the salesperson does so:
As a general agent for his broker
What does he listing broker and salesperson owe to the purchaser?
honesty, Integrity, Disclosure of defects.
IF asked by a prospective buyer the listing agent must disclose what about the property?
The previous occupant dies on the property, a murder occurred on the grounds, the home was the site of illegal drug activity.
The term FIDUCIARY best describes
An agent
The amount of a broker’s commission is
established by agreement between the broker and the seller.
Do all material facts need to be disclosed?
yes
An agency may be terminated by…
Gov’t. condemnation of the property.
The broker files for bankruptcy
The seller believes the broker has not marketed the property as promised and revokes the listing.
A general agency empowers the agent to…
Transact the principal’s affairs in a certain business.
Exclusive agency listing
A listing that allows the owner to sell the property without being liable for a commission, but also appoints only one broker to act as sole agent.
Exclusive listing must include…
A definite date of expiration
Ostensible Agency
When a third party relies upon the principal’s representation that a [articular broker is his agent, even though the broker is unaware of the fact.
If a listing agreement does not specifically authorize a broker to accept and hold an earnest money deposit on behalf of the seller, the the….
Broker has implied authority to accept such deposit.
Acting as dual agent without the consent of all parties is a breach of a broker’s duty of..
Loyalty
