A broker repeats information they received from their seller to a potential buyer. On finding the information is false, the broker is to:
Correct Answer
B) inform the buyer of the error.
On discovering that information already conveyed to the buyer was false, the broker must promptly inform the buyer so the buyer does not continue to rely on the misrepresentation. Informing escrow alone does not correct the false information given to the buyer.
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Related Topics & Key Terms
Related Topics:
Key Terms:
Related Concepts
An agency relationship created by the conduct or actions of the parties rather than by a written or oral agreement.
The legal obligation to reveal information that could affect a party's decision to enter into or the terms of a real estate transaction.
The extent of power and actions an agent is authorized to perform on behalf of the principal, as defined by the agency agreement.
More Laws Of Agency Fiduciary Duties Questions
When the administrator of an estate sells a parcel:
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Which of the following is NOT a fiduciary duty owed by an agent to their principal?
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- → A seller instructs their California listing agent to decline showings to prospective buyers of a specific ethnic background. Which response best describes the agent's legal obligation?
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A broker receives a full price offer on a house they are listing. Before they present the offer to the seller, another broker brings in an all cash offer for $5,000 less. The listing broker is to:
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A broker who fails to promptly disclose their dual agency status is subject to: