wayground logo

Free Printable Worksheets

Font size

S
M
L
XL
Worksheets

Texas Law of Agency

Total questions: 84

Worksheet time: 42mins

Name
Class
Date
1.

One who acts for and with authority from another, called the principal, is known as a/an…?

a)

Agent

b)

Attorney

c)

Employee

d)

Partner

2.

Which of the following can legally employ a real estate salesperson to work on their behalf…?

a)

A real estate broker

b)

A real estate associate

c)

Another real estate salesperson

d)

An associate broker

3.

The Information About Brokerage Services form is presented by the broker to the…?

a)

Escrow agent

b)

Associate Agent

c)

Prospective Client

d)

Agent

4.

Which of the following has the highest authority in an agency relationship…?

a)

Associate licensee

b)

Real estate salesperson

c)

Associate broker

d)

Real estate broker

5.

A real estate broker may sponsor which of the following…?

a)

Real estate salesperson

b)

All of the above

c)

Associate broker

d)

Associate licensee

6.

Statutory law is derived from which of the following…?

a)

Court decisions

b)

Legislation

c)

Judge rulings

d)

Common actions

7.

Agency between a broker and principal is created through a/an…?

a)

Listing Contract

b)

Independent Contractor Agreement

c)

Any of the Above

d)

Common Actions

8.

A real estate broker works for which of the following in a transaction…?

a)

All of the Above

b)

The Principal

c)

The Customer

d)

The Lender

9.

The party the agent brings to the principal as a seller or buyer of the property is known as a/an…?

a)

Partner

b)

Customer

c)

Clent

d)

Associate

10.

If an individual works as an associate broker, who must they work under…?

a)

An associate broker does not work under anyone

b)

A Sponsoring Broker

c)

A Real Estate Salesperson

d)

An Associate Licensee

11.

An agent with limited authority to act on behalf of the principal is known as a…?

a)

Special Agent

b)

Specific Agent

c)

Universal Agent

d)

General Agent

12.

Which of the following is the most restrictive type of agency…?

a)

General Agency

b)

Specific Agency

c)

Universal Agency

d)

Special Agency

13.

This is a fiduciary relationship that obligates the agent to act in good faith at all times, obeying the client’s instructions in accordance with the contract?

a)

Obedience

b)

Loyalty

c)

Accountability

d)

Confidentiality

14.

This is an agent’s duty to place their client’s interest above those of all others, including the agent’s own self-interest…?

a)

confidentiality

b)

Accountability

c)

Loyalty

d)

Obedience

15.

According to this fiduciary duty, an agent must keep confidential any information that may weaken the principal’s bargaining position…?

a)

Obedience

b)

Loyalty

c)

Confidentiality

d)

Reasonable Care

16.

David is serving as a power of attorney for Sarah. David is serving as what type of agent…?

a)

Universal Agent

b)

General Agent

c)

Special Agent

d)

Specific Agent

17.

A buyer representation agreement between a buyer and broker creates what type of agency…?

a)

Special Agency

b)

General Agency

c)

Specific Agency

d)

Universal Agency

18.

According to this fiduciary duty, an agent must meet deadlines set by the principal and/or client…?

a)

Loyalty

b)

Obedience

c)

Confidentiality

d)

Reasonable Care and Diligence

19.

An agent owes which of the following fiduciary duties to a customer…?

a)

Loyalty

b)

Reasonable Care

c)

Doesn't owe fiduciary duty

d)

Obedience

20.

This is a document which precisely shows the property lines, and size and location of improvements on a particular property…?

a)

Survey

b)

Roof Plan

c)

Topographic Map

d)

Abstract

21.

Title insurance consists of a contract between an insurance company and a/an…?

a)

Broker

b)

Seller

c)

Agent

d)

Policy Holder

22.

Which of the following is considered a physical stigma for a property…?

a)

All of the above

b)

Asbestos

c)

Lead Based Paint

d)

Groundwater Contamination

23.

Under the DTPA, an agent who is found guilty of misrepresentation may be required to pay which of the following…?

a)

Punitive Damages

b)

Partial Damages

c)

Substatial Damages

d)

Common Damages

24.

An attorney provides which of the following, which is based on a property's abstract of title…?

a)

Title Plan

b)

Survey of Title

c)

Official Title

d)

Opinion of Title

25.

Who is responsible for completing the Seller's Disclosure of Property Condition form…?

a)

The Seller

b)

The Sellers Attorney

c)

The Sellers Broker

d)

The Buyer

26.

Agency that exists as a result of the actions of the parties is known as…?

a)

Implied Agency

b)

Partial Agency

c)

Express Agency

d)

Substantial Agency

27.

In order to earn a commission, a broker must secure which of the following…?

a)

An interested buyer

b)

An offer from a buyer

c)

A letter of intent from a buyer

d)

A ready, willing, and able buyer

28.

An open listing contract is an example of a/an…?

a)

Non-exclusive listing contract

b)

Net Listing Contract

c)

Exclusive Contract

d)

Purchase Contract

29.

Which of the following listing contracts offers the least amount of protection to the broker…?

a)

Open Listing

b)

Net Listing

c)

Exclusive Right to Sell Agreement

d)

Exclusive Agency Agreement

30.

What must a listing broker disclose at their first substantial dialogue with a prospective buyer…?

a)

The broker's agency relationship with the seller

b)

The lowest price the seller is willing to accept

c)

The seller's motives for selling

d)

All of the Above

31.

Paragraph 17 of the Residential Buyer/Tenant Representation Agreement lists which of the following…?

a)

Attorneys Fees

b)

Confidential Information

c)

Special Provisions

d)

Brokers Fees

32.

A buyer representation agreement needs to be …………in order for the broker to earn a commission?

a)

Orally Created

b)

Recorded

c)

Implied

d)

In Writing

33.

A dispute that arises out of a buyer representation agreement must be resolved first through…?

a)

Arbitrarion

b)

Litigation

c)

Mediation

d)

Civil Lawsuit

34.

Which of the following fiduciary duties are owed by a broker to a buyer after signing an exclusive buyer representation agreement…?

a)

All of The Above

b)

Full Disclosure

c)

Loyalty

d)

Confidentiality

35.

Prior to signing a buyer representation agreement, the buyer operates as a/an ………….to the broker?

a)

Principal

b)

Client

c)

Employer

d)

Customer

36.

Sam is a real estate broker who is bringing a buyer to a transaction. If Sam did not sign a buyer representation agreement with the buyer, he will serve as a ………….to the seller's broker?

a)

Sub Agent

b)

Customer

c)

Client

d)

Broker

37.

Which of the following fiduciary duties are owed by a broker to a buyer after signing an exclusive buyer representation agreement…?

a)

Loyalty

b)

Full Disclosure

c)

All of the Above

d)

Confidentiality

38.

TRELA allows a broker to act as an intermediary if which of the following is provided…?

a)

Written consent from all parties

b)

Oral consent from all parties

c)

Implied consent from all parties

d)

Partial consent from all parties

39.

Which of the following is needed in order to allow a broker to appoint associate licensees to represent the seller and buyer in an intermediary brokerage…?

a)

Written Consent From All Parties

b)

Oral Consent from all parties

c)

Implied Consent from all parties

d)

Partial consent from all parties

40.

Tim is a real estate salesperson who's broker is serving as an intermediary in a transaction. Tim was assigned by his broker to represent the seller in the transaction, while another licensee in the office represented the buyer. Tim is allowed to give advice to which of the following parties...?

a)

Buyer and Seller

b)

Buyer

c)

Seller Only

d)

Never allowed if broker is intermediary

41.

If an associate licensee is assigned to represent the seller in an intermediary agency transaction, what fiduciary duties does the licensee owe to the seller…?

a)

Loyalty

b)

Confidentiality

c)

Reasonable Skill and Diligence

d)

All of the above

42.

If a broker acting as an intermediary assigns licensees to represent both the buyer and seller, who becomes responsible for the agency relationships…?

a)

The broker is always responsible fro the actions of licensees

b)

The Buyer And Seller

c)

The licensee representing the seller

d)

The licensee representing the buyer

43.

Bob is a broker serving as an intermediary in a transaction. He decides to appoint two of his associate licensees to represent the seller and buyer. The associate licensees are prohibited from which of the following actions…?

a)

Disclosing to the buyer that the seller will accept an offer below the asking price

b)

Disclosing to the seller that the buyer is willing to pay more than the asking price

c)

Disclosing confidential information about either party

d)

All of the Above

44.

Abraham was assigned to represent a buyer in an intermediary brokerage. What fiduciary duties does Abraham owe to the seller…?

a)

Loyalty

b)

Obedience

c)

Accountability

d)

Honesty

45.

What is typically needed to create an agency relationship…?

a)

Mutual agreement between the parties

b)

An agreement by only one of the parties

c)

An implied action by one of the parties

d)

A recorded contract

46.

A listing contract between a seller and broker must be…?

a)

In Writing

b)

Recorded

c)

Oral

d)

All of the Above

47.

Which of the following parties primarily benefits from an agency by estoppel…?

a)

The Customer

b)

The Principal

c)

The Broker

d)

The Agent

48.

Agency agreements may not have which of the following…?

a)

A termination date

b)

An Automatic Renewal Clause

c)

A Stated Commission

d)

An of the Above

49.

Which of the following duties does an agent owe to the principal after the agency agreement is terminated…?

a)

Obedience

b)

Confidentiality

c)

All of the Above

d)

Full Disclosure

50.

An agency 'after the fact' is also known as a…?

a)

Express Agency

b)

Gratuitous agency

c)

Agency By Ratification

d)

Implied Agency

51.

A real estate salesperson must obtain which of the following to cancel or terminate a brokerage service agreement…?

a)

Written permission from the broker

b)

Oral permission from the broker

c)

A real estate salesperson can never terminate a brokerage service agreement

d)

A real estate salesperson does not need anything to terminate a brokerage service agreement

52.

Which of the following parties may serve as the principal in a transaction…?

a)

Seller

b)

Landlord

c)

Buyer

d)

All of the Above

53.

Which of the following must be satisfied in order for an agent to receive a commission from a transaction…?

a)

The agent must have held a valid real estate license prior to the start of the transaction

b)

The seller must receive a profit from the transaction, which can be used to pay the broker commission

c)

All of the Above

d)

The transaction must close

54.

Who pays a real estate salesperson their commission for a transaction…?

a)

The Seller

b)

Salespersons Sponsoring Broker

c)

The Buyer

d)

Any of the above

55.

Matthew signed an independent contractor agreement with his broker. What is the standard term used in the agreement…?

a)

12 months

b)

24 months

c)

36 months

d)

No standard term

56.

Which of the following federal laws requires lenders to disclose to borrowers the actual cost of obtaining a loan…?

a)

ADA

b)

Fair Housing Act

c)

TILA

57.

Which of the following is a protected class under the Federal Fair Housing Act…?

a)

All of the above

b)

Financial Status

c)

Occupation

d)

National origin

58.

Which of the following was prohibited from being used after 1978…?

a)

Wool Insulation

b)

Asbestos

c)

Oil Based Paint

d)

Lead Based Paint

59.

Fraud in the real estate industry is covered in which of the following statutes…?

a)

Uniform Commercial Code

b)

Business and Commerce Code

c)

Texas Constitution

d)

Texas Fair Housing Act

60.

The Texas Property Code requires which of the following in a residential transaction…?

a)

Commission Disclsure Form

b)

Information About Brokerage Services form

c)

All of the above

d)

Seller's Disclosure of Property Condition

61.

This is a protected class under the Texas Fair Housing Act, which is not protected under the Federal Fair Housing Act…?

a)

Financial Status

b)

Age

c)

All of the Above

d)

Ancestory

62.

What is the minimum standard of conduct for a real estate professional…?

a)

The NAR code of ethics

b)

The TAR code of ethics

c)

The TAC cannons of ethics

d)

The Law

63.

Which of the following laws takes precedent over all other laws…?

a)

State law

b)

County law

c)

Local Law

d)

Federal Law

64.

The …………is designed to protect the consumers against any false, misleading, or deceptive business practices?

a)

RESPA

b)

TILA

c)

DTPA

d)

ECOA

65.

Under the DTPA, if a consumer suffered $5,000 in loses, how much may they recover in punitive damages…?

a)

15,000 dollars ($)

b)

5,000 dollars ($)

c)

10,000 dollars ($)

d)

1,000 dollars ($)

66.

How many misleading acts are listed under the DTPA…?

a)

12

b)

50

c)

75

d)

25

67.

Under the DTPA, a consumer may bring a suite against which of the following parties…?

a)

All of the above

b)

An individual

c)

a corporation

d)

An association

68.

If a defendant …………….committed a violation of the DTPA, they may be held responsible for punitive damages?

a)

Negligently

b)

Innocently

c)

Partially

d)

Intentionally

69.

A written waiver under the DTPA may be enforceable if which of the following is present…?

a)

All of the above

b)

The total consideration by the consumer is greater than $100,000

c)

The consumer is represented by legal council

d)

The waiver does not include the consumer's residence

70.

A broker who takes advantage of a consumer to a grossly unfair degree may be guilty of…

a)

Unconscionable actions

b)

Reasonable Actions

c)

Partial Actions

d)

Implied Actions

71.

Which of the following should a broker provide to justify the listing price on a listing agreement…?

a)

CMA

b)

Appraisal

c)

Municipal Assesment

d)

Pro-Forma

72.

Marcus is a broker who is about to enter into a listing contract with a seller. Which of the following should be explained to a prospective seller, prior to entering into a listing contract…?

a)

All of the above

b)

How the broker's fee will be split with other brokers

c)

The broker's commission rate for the transaction

d)

Intermediary brokerage policies

73.

In a typical real estate transaction, the buyer pays for which of the following…?

a)

An Appraisal

b)

Loan Origination Fee

c)

A Property Inspection

d)

All of the above

74.

Which of the following parties must provide written consent to an intermediary brokerage…?

a)

Neither the buyer or seller

b)

The seller only

c)

Both the buyer and seller

d)

The buyer only

75.

Real estate brokers typically obtain what type of insurance…?

a)

Errors and omissions insurance

b)

Residential service insurance

c)

Worker's compensation insurance

d)

Homebuyers insurance

76.

Jill works as a seller's agent. What duties does Jill owe to a prospective buyer…?

a)

Fairness

b)

Loyalty

c)

Obedience

d)

Confidentiality

77.

A buyer's broker typically assists the buyer with which of the following…?

a)

Answering questions about the purchase contract

b)

Making an offer on a property

c)

All of the above

d)

Facilitate negotiations and counter-offers

78.

A real estate broker should only provide advice and opinions to which of the following parties…?

a)

The Principal

b)

The Customer

c)

A Customers Agent

d)

Any of the Above

79.

The terms of a purchase contract between a buyer and seller are…?

a)

Confidential

b)

Public Record

c)

Fully Disclosed

d)

Recorded

80.

This document explains to the customer the services offered by the brokerage…?

a)

The Information About Brokerage Services

b)

Brokerage Services Disclosure

c)

Listing Contract

d)

Agency Disclosure Form

81.

What is the second step in developing a broker's company policies and procedures manual…?

a)

Write the company policy manual

b)

Review the size and experience of the broker's office staff

c)

Review the various agency relationships

d)

Review the advantages and disadvantages of each agency relationship

82.

What is the third step in developing a broker's company policies and procedures manual…?

a)

Write the company policy manual

b)

Review the advantages and disadvantages of each agency relationship

c)

Review the size and experience of the broker's office staff

d)

Review the various agency relationships

83.

Town Brokers are developing a company policies and procedures manual. What should be included in the manual…?

a)

All of the above

b)

Matters regarding continuing education

c)

Matters regarding advertising rules

d)

Matters regarding the competency of agents

84.

Residential Realty recently started to develop a new policies and procedures manual. What is the second step they need to take in developing the manual…?

a)

Review the advantages and disadvantages of each agency relationship

b)

Review the various agency relationships

c)

Review the size and experience of the broker's office staff

d)

Write the company policy manual

Similar Resources on Wayground

MTSS at Escondido Union School District (EUSD) Quiz

85 questions

MTSS at Escondido Union School District (EUSD) Quiz

quiz

Worksheet

•

12th Grade