Agency Basics
Fiduciary
Duties
Types of Agents
Representations & Termination
Facts, Defects & Disclosure
100

This person is authorized to represent another persons interests in dealings with a third party.


Who is an agent?

100

This duty requires an agent to follow the principals lawful instructions.


What is obedience?

100

This agent has no limits on authority and is uncommon in real estate.


What is a universal agent?


100

This agreement establishes a brokers agency relationship with a seller.


What is a listing agreement?


100

This term means exaggerating a propertys benefits without making fraudulent statements.


What is puffing?

200

This person hires an agent and delegates responsibility for representing their interests.


Who is the principal?

200

This duty requires the principals interests to come before the agents interests.


What is loyalty? 

200

This agent handles a range of matters related to a particular business or activity.


What is a general agent?

200

This agreement establishes a brokers agency relationship with a buyer.


What is Buyer Agency Agreement?

200

This is an intentional misrepresentation of a material fact to harm or take advantage of someone.


What is fraud?

300

This nonrepresented consumer receives services and is entitled to fairness and honesty.


Who is the customer?

300

This duty requires an agent to safeguard and account for funds and documents entrusted to them.


What is accounting?

300

This agent represents a principal in one specific transaction or business activity.


What is a special agent?

300

This agency arrangement involves a broker representing two principals in the same transaction.


What is dual agency?

300

These hidden structural problems would not be uncovered by an ordinary inspection.


What are latent defects?

400

This type of agency is created when the parties explicitly state their intentions orally or in writing.


What is expressed agency? 

400

This duty protects information about a principals personal affairs, including financial circumstances.


What is confidentiality?

400

This professional helps with a transaction without representing either partys interests.


What is a nonagent? 

Acceptable: facilitator, intermediary, transactional broker, transaction coordinator, or contract broker.


400

For disclosed dual agency, both principals must be informed and provide this.


What is consent?

400

This occurs when a broker makes a statement about a material fact they should have known was incorrect, and the buyer relies on it.


What is negligent misrepresentation?

500

This type of agency may arise from the parties actions, even when no agency relationship was intended.


What is implied agency?

500

✨DOUBLE JEOPARDY✨

Name all six fiduciary duties represented by COLD-AC.


What are care, obedience, loyalty, disclosure, accounting, and confidentiality?


500

Without special power of attorney, a special agent cannot enter contracts on behalf of or legally do this to the principal.


What is bind the principal?

500

Name any three circumstances listed in the text that terminate an agency relationship.


  • Completion or fulfillment of the agency’s purpose.
  • Death or incapacity of either party.
  • Destruction or condemnation of the property.
  • Expiration of the agency’s term.
  • Mutual agreement to cancel.
  • Breach by one of the parties.
  • Operation of law, such as the principal’s bankruptcy
500

This term describes a property considered undesirable because of a tragedy or other event that occurred there.


What is a stigmatized Property?

M
e
n
u