Under Colorado law, when must a real estate licensee first disclose the nature of the agency relationship to a prospective buyer or seller?
Correct Answer
A) At the time of the first substantive contact with the prospective client
Under Colorado's brokerage relationships disclosure rules (C.R.S. § 12-10-403 and CREC Rule 6.6), a licensee must disclose the nature of the brokerage relationship at the time of the first substantive contact with a prospective buyer or seller. 'Substantive contact' is defined as any contact where real estate needs, motivation, or financial qualifications are discussed.
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Related Topics & Key Terms
Key Terms:
Related Concepts
The extent of power and actions an agent is authorized to perform on behalf of the principal, as defined by the agency agreement.
The fiduciary obligations owed by a listing agent to the seller, including marketing the property, presenting all offers, and protecting the seller's confidential information.
A practice where the agent or brokerage represents only one party in a transaction — either the buyer or the seller, but never both.
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