A California real estate licensee is retained solely to locate a buyer for one specific parcel of commercial property. Once that transaction closes, the agency relationship ends. Under California agency law, this licensee is best classified as which type of agent?
Correct Answer
B) Special agent
A special agent is authorized to perform a single, specific act or transaction on behalf of the principal, after which the agency terminates. California real estate licensees acting under a listing or buyer-representation agreement are classic examples of special agents — their authority is confined to the defined purpose (e.g., marketing one property or locating one property for purchase) and does not extend to binding the principal in other matters. This classification is foundational to California agency law and is reflected in the limited authority structure of standard CAR listing and representation agreements.
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Related Topics & Key Terms
Key Terms:
Related Concepts
The highest legal obligation of trust and confidence owed by an agent to their principal, requiring the agent to act solely in the principal's best interest.
An agency relationship where the agent agrees to act on behalf of the principal without receiving compensation.
An agency relationship created by the conduct or actions of the parties rather than by a written or oral agreement.
More Laws Of Agency Fiduciary Duties Questions
A property sold for $450,000. The commission rate was 6%. If the listing broker received 60% of the total commission, how much did the listing broker receive?
An individual who is not employed by the client, but has been delegated agency duties by an agent of the client, is referred to as a(n):
What are the three steps of the agency disclosure in proper chronological order?
An agent needs to disclose a conflict of interest to the affected parties when a principal or service provider in the transaction is the agent’s:
A broker who simultaneously represents the best interests of both opposing parties in a transaction is known as a(n):
- → When showing a listed residential property of one to four dwelling units to potential buyers, the listing broker is required to disclose:
- → Broker fees deposited with the broker before they are earned are called:
- → A real estate broker is subject to disciplinary action from the Department of Real Estate (DRE) if they:
- → The seller states they will accept the buyer’s offer if the broker lowers their 6% commission by 25%. If the broker accepts, they will receive:
- → When a broker wants to store documents electronically, the storage method may not allow the final documents to be altered. What method of electronic document storage is required by the Department of Real Estate (DRE)?
- → 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:
- → A seller’s broker needs to disclose:
- → Broker Chuck listed a duplex for sale from a corporate owner. After entering into the listing, the officers of the corporation die in a plane crash. What happens to the listing?
- → If a 16-year-old emancipated minor wishes to sell real property, their broker may:
- → A broker who fails to promptly disclose their dual agency status is subject to:
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A buyer's agent in California, working for a different brokerage than the seller's agent, discovers during due diligence that the subject property is located in a FEMA-designated flood zone. This information does not appear anywhere in the seller's disclosures. What is the buyer's agent's primary obligation under California law?
Next Question
A California licensed property manager is retained under a written management agreement to oversee a 20-unit residential building for an indefinite term. The agreement authorizes the manager to collect rents, enforce lease terms, hire and pay vendors, and approve routine repairs up to $500 without prior owner approval. Under California agency law, how is this property manager classified?