All of the following are valid ways to terminate an agency relationship EXCEPT:
Correct Answer
C) The agent unilaterally abandons the client to pursue a more profitable opportunity
An agency relationship may be lawfully terminated by expiration of the agreement, mutual consent, or the death of either party, among other valid reasons. However, an agent may not simply abandon a client to pursue a better opportunity — doing so would constitute a breach of fiduciary duty and could subject the licensee to disciplinary action by the Maine Real Estate Commission.
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Related Topics & Key Terms
Related Topics:
Key Terms:
Related Concepts
In real estate, a client is someone to whom the agent owes fiduciary duties through an agency relationship, while a customer is a third party to whom the agent owes only honesty and fair dealing.
An arrangement where a brokerage assigns separate agents within the firm to represent the buyer and seller in the same transaction, allowing each client to have dedicated representation.
A situation where a single agent or brokerage represents both the buyer and the seller in the same real estate transaction.
More Agency Questions
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In West Virginia, a WV licensee fails to disclose on the Commission agency relationship form whether the licensee represents the seller, buyer, or both. Which statement is correct?
In Vermont, a licensee owes fiduciary duties to a client. Which statement is correct?
- → A Vermont licensee is asked about a designated agency firm appoints separate agents for buyer and seller. What is the best answer?
- → In Vermont, a licensee has substantial contact with an unrepresented person before a showing. Which statement is correct?
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- → In Vermont, a brokerage hosts an open house for unrepresented visitors. Which statement is correct?
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