Flashcards in Chapter Four Deck (28):
one who acts or has the power to act for another. A fiduciary relationship is created under the law of agency when a property owner, as the principal, executes a listing agreement or management contract authorizing a licensed real estate broker to be his or her.....?
the third party or non-represented consumer for whom some level of service is provided. 46
deception intended to cause a person to five up property or a lawful right. 59
an agency relationship based on a formal agreement between the parties. 47
a licensee authorized by a broker to act as the agent for a specific principal in a particular transaction. 53
one who is authorized by a principal to represent the principal in a specific range of matters. 52
one in whom trust and confidence is placed; a reference to a broker employed under the terms of a listing contract or buyer agency agreement. 46
a relationship of trust and confidence, as between trustee and beneficiary, attorney and client, or principal and agent.48
based on the actions of the parties that imply that they have mutually consented to an agency relationship.. 47
a hidden structural defect that could not be discovered by ordinary inspection and that threatens the property's soundness or the safety of its inhabitants. 60
a contract between an owner (principal), and a real estate broker (agent) by which the broker is employed as agent to find a buyer for the owner's real estate on the owner's terms, for which service the owner agrees to pay a commission. 47
property that society has found undesirable because of events that occurred there or because a known sex offender lives in the area.
occurs when the broker should have known that a statement about a material fact was false. 79
an intermediary between a buyer and a seller, or a landlord and a tenant, who assists one or both parties with a transaction without representing either. 46
a person empowered to do anything a principal could do personally. 52
the relationship between a principal and an agent wherein the agent is authorized to represent the principal in certain transactions.
one who is authorized by a principal to perform a single act or transactions; one authorized to find a ready, willing, and able buyer for a particular property. 52
representing both parties to a transaction. This is unethical unless both parties agree to it, and it is illegal in many states.
the illegal act by a real estate broker of placing client or customer funds with personal funds. By law, brokers are required to maintain a separate trust or escrow account for other parties' funds held temporarily by the broker. 184
completion, performance, or fulfillment of the purpose for which the agency was created, death or incapacity of either party, destruction or condemnation of the property, expiration of the terms of the agency, mutual agreement by all parties to cancel the contract, breach by one of the parties, by operation of law/bankruptcy. 52
all lead to Termination of Agency
1) a sum loaned or employed as a fund or an investment, as distinguished from its income or profits. 2) the original amount (as in a loan) of the total due and payable at a certain date. 3) a main party to a transaction - the person for whom the agent works. 46
relevant information or facts that are known or should have been known. 50-51
exaggerated or superlative comments or opinions. 59
Care, Obedience, Loyalty, Disclosure, Accounting, Confidentiality 50
Six common-law fiduciary duties:
a contract under which the agreement of the parties is demonstrated by their acts and conduct. 47
a residential real estate broker or salesperson who represents the prospective purchaser in a transaction in a transaction. 54