Chapter 5 Flashcards
(20 cards)
The approval of a previously authorized act, performed on behalf of a person, which makes the act valid and legally binding
Ratification
When a broker represents only the buyer or only the seller in the transaction
Single agency
A person employed to perform a specific task
Special agent
A buyer who is prepared to enter a purchase contract, who really wants to buy, and who meets the financing requirements of purchase
Ready, willing, and able
A relationship that implies a position of trust or confidence
Fiduciary relationship
Another term used for a licensed real estate salesperson employed by a licensed real estate broker
Associate licensee
A broker who represents both parties in a transaction
Dual agent
Depositing client funds in the brokers personal account or general business account
Commingling
An employment contract in which the commission is not definite
Net listing
Exaggerated comments or opinions not made as representations of fact, thus not grounds for misinterpretations
Puffing
The appropriation of property belonging to another as in a broker using a clients fund
Conversion
A person with a real estate license and employed by a real estate broker - agent of the broker - not the seller or buyer
Real estate salesperson
In a real estate transaction the seller who hires the broker to represent him in the sale of property
Principal
A person who acts for and in the place of another, called a principal, for the purpose of affecting the principals legal relationship with third persons
Agent
A prospective buyer of real estate, not to be confused with a property seller, who is the listing brokers client
Customer
A written contract by which a principal, or seller, employs a broker to sell real estate
Listing agreement
Clause that protects brokers commission
Safety clause
The new CAR name of the Exclusive Authorization and Right to Sell Listing Agreement
RLA - exclusive form
A person who would be considered the customer in an agency relationship
Third party
The broker who produces a buyer ready, willing, and able to purchase the property for the price and on the terms specified by the seller, regardless of whether the sale is completed
Procuring cause
