Law of Agency Real Estate 7-10

Which of the following is NOT a legal real estate relationship in Texas?

• Dual Agency

• Buyer's Agency/Seller's Agency

• Intermediary Agency

• Sub-Agency

In intermediary relationships, brokers MUST _____.

• get written permission from the involved parties.

• appoint different associated license holders to communicate with and carry out instructions of the respective parties

• speak fairly, honestly, and offer opinions to all involved parties

• ask the client if they want an appointed license holder to represent them

How can intermediary brokerage be created?

• Only through writing

• Through writing or through action

• Only by implication

• Through implication or orally

Which is NOT one of the three types of agency?

• abstract agency

• general agency

• special agency

• universal agency

An express agency agreement can be:

• either oral or written

• implied

• oral only

• written only

When a client has given an agent explicit permission for an action, it is known as:

• express authority

• obvious authority

• general action

• implied agency

Which of the following is NOT one of the three exceptions to the written notice requirement that follows a "substantive dialogue"?

• If the transaction is for a foreclosed or REO property

• If the transaction is for a lease less than a year with no plan for sale

• If the party is already known to the license holder to be represented by another license holder

What are some issues the broker should cover in the company policy manual?

• the agent’s authorized real estate activities and the steps they need to take to add additional authorized activities

• the broker’s policy regarding compliance with state and federal laws, TRELA, and TREC Rules

• the broker’s agency relationship policies

• All of the choices are correct.

Which is NOT one of the three major areas a broker should consider when creating a company policy?

• commission structure of competitor brokerages

• agency relationship strategy

• local real estate market and competition

• agent force makeup of the brokerage

What is one big difference between employees and independent contractors?

• Income tax and social security are taken out of an employee’s salary while independent contractors pay their own income tax and social security.

• Independent contractors cannot operate out of the broker’s office without paying rent.

• The broker can set the hours for an independent contractor but not an employee.

• Independent contractors only get two weeks for vacation a year.