Under California law, which of the following would most likely create a valid implied agency relationship, even without a written agreement?
Correct Answer
A) A licensee consistently shows a buyer properties, negotiates on the buyer's behalf, and advises the buyer on offer strategy over several weeks
Under California law, an agency relationship can be created by implication through the conduct of the parties, even without a written agreement. When a licensee consistently acts in ways that a reasonable person would interpret as representation — such as advising on strategy, negotiating terms, and showing properties on a buyer's behalf over an extended period — and the buyer relies on that conduct, an implied agency is established. California Civil Code §2079.16 and agency common law both recognize implied agency arising from conduct.
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