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Az Agency DisclosuresAgency_types_azHARD

In a licensing seminar in Prescott, a broker gives strategic advice, pricing opinions, and negotiation recommendations to a person the broker insists is only a customer. Which outcome best matches current Arizona practice?

Correct Answer

D) conduct can create expectations and duties, so brokers should avoid implied-agency confusion by using clear disclosures and agreements

Under A.A.C. R4-28-1101; current AAR agency-disclosure materials, conduct can create expectations and duties, so brokers should avoid implied-agency confusion by using clear disclosures and agreements.

Answer Options
A
strategic advocacy to a customer can never create any agency risk in that Arizona transaction
B
Arizona requires brokers to avoid written disclosures so relationships stay flexible
C
agency confusion disappears automatically if the buyer pays cash under current Arizona law
D
conduct can create expectations and duties, so brokers should avoid implied-agency confusion by using clear disclosures and agreements

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Related Topics & Key Terms

Key Terms:

arizona_specificimplied_agencydisclosureagency_types_azaz_agency_and_disclosures

Related Concepts

An agency relationship created when a principal approves or accepts an agent's previously unauthorized actions, effectively granting authority after the fact.

The legal requirement for real estate agents to inform all parties about who they represent in a transaction, typically provided at first substantive contact.

A legal relationship in which one person (the agent) is authorized to act on behalf of another person (the principal) in business transactions with third parties.

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