All of the following are valid ways to terminate an agency relationship EXCEPT:
Correct Answer
C) The agent unilaterally abandons the client to work with a more profitable prospect
An agent cannot unilaterally abandon a client simply to pursue a more profitable prospect — doing so would be a breach of the agent's fiduciary duty and is not a valid method of terminating an agency relationship. Valid terminations include expiration of the agreement, mutual consent, completion of the purpose, or the death or incapacity of either party.
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Related Topics & Key Terms
Related Topics:
Key Terms:
Related Concepts
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.
An agency relationship created by a clear, explicit agreement between the principal and agent, either orally or in writing.
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?
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