Agency LawMEDIUMFREE

A Florida single agent owes the principal all duties EXCEPT:

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Audio Lesson

Duration: 3:03

Question & Answer

Review the question and all answer choices

A

Loyalty

CORRECT_ANSWER

B

Confidentiality

CORRECT_ANSWER

C

Limited representation

Correct Answer
D

Full disclosure

CORRECT_ANSWER

Why is this correct?

C is correct because limited representation is not a duty of a single agent. A single agent provides full representation with fiduciary duties, while limited representation is characteristic of transaction brokers who don't owe all fiduciary duties to all parties.

Deep Analysis

AI-powered in-depth explanation of this concept

This question addresses the fundamental fiduciary duties of a single agent in Florida real estate practice, which is crucial for understanding agency relationships. The core concept revolves around what constitutes full representation versus limited representation. A single agent owes the principal all fiduciary duties including loyalty, confidentiality, and full disclosure. The question challenges students to recognize that limited representation is actually what defines a transaction broker relationship, not a single agent relationship. This distinction is particularly important in Florida, which has specific statutes governing different types of agency relationships. Students must understand that limited representation means the agent doesn't owe all fiduciary duties to all parties, which directly contradicts the definition of a single agent who must act in the best interests of their principal.

Knowledge Background

Essential context and foundational knowledge

In Florida real estate, agency relationships are clearly defined by statute. A single agent has a fiduciary relationship with their client, meaning they owe specific duties including loyalty, confidentiality, obedience, accounting, full disclosure, and reasonable care and diligence. Transaction brokers, introduced in Florida in 1992, provide limited representation to all parties in a transaction and do not owe fiduciary duties. This distinction is crucial for understanding the scope of representation an agent can provide and the legal obligations they have to their clients.

Memory Technique
analogy

Think of a single agent as a personal bodyguard who must protect their client (loyalty), keep secrets (confidentiality), and tell them everything (full disclosure). A transaction broker is like a mediator who helps both sides but can't take sides.

When you see 'limited representation' in an agency question, immediately think of transaction brokers, not single agents.

Exam Tip

When asked about duties of a single agent, remember that 'limited representation' is the key phrase that signals a transaction broker relationship, not a single agent relationship.

Real World Application

How this concept applies in actual real estate practice

Imagine a buyer working with a Florida single agent. The buyer discovers the neighbor's property has a history of flooding. As a single agent, the agent must disclose this information to the buyer (full disclosure) despite it potentially affecting the sale. The agent must also keep the buyer's maximum price confidential from the seller (confidentiality) and negotiate the best terms for the buyer (loyalty). If the agent were a transaction broker, they could provide limited representation and wouldn't owe all these fiduciary duties to both parties.

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