Colorado broker associate Angela represents buyer-client Marcus in the purchase of a Denver condominium governed by an HOA. As Marcus's agent, Angela owes him full fiduciary duties. Which of the following is NOT one of the fiduciary duties Angela owes to Marcus under Colorado law?
Correct Answer
A) Guaranty — ensuring that the property will be free from all defects after closing
A guaranty of property condition is NOT a fiduciary duty owed by a Colorado broker to a client. The recognized fiduciary duties under Colorado's Brokerage Relationships in Real Estate Transactions Act (C.R.S. § 12-10-403) are: loyalty, confidentiality, disclosure, obedience, reasonable care and diligence, and accounting. Brokers are not guarantors of property condition — they are required to disclose known material defects and exercise reasonable care, but they do not warrant or guarantee that a property will be defect-free after closing.
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Related Topics & Key Terms
Key Terms:
Related Concepts
A relationship where a listing broker authorizes other brokers to act as agents of the seller, extending the seller's agency relationship to cooperating brokers.
A non-agency relationship where the broker facilitates a real estate transaction without representing either party, owing limited duties of honesty, fairness, and competence to both.
The legal principle that holds a broker responsible for the actions of their agents and employees performed within the scope of the agency relationship.
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