Under Nebraska law, which of the following is NOT a recognized method by which an agency relationship can be created between a broker and a client in a real estate transaction?
Correct Answer
D) Statutory agency automatically imposed by the Nebraska Real Estate Commission upon license issuance
Nebraska law does not recognize a 'statutory agency' that is automatically imposed by the Nebraska Real Estate Commission upon a licensee receiving their license. The NREC issues licenses authorizing individuals to engage in brokerage activities, but it does not automatically create an agency relationship with any particular client. Agency relationships in Nebraska are created through express agreement (written or oral), implied conduct, estoppel, or ratification — all of which require some form of interaction between the broker and the specific client. The Commission's role is regulatory, not agency-creating.
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Related Topics & Key Terms
Key Terms:
Related Concepts
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.
An agency relationship created when a principal's actions or words lead a third party to reasonably believe that an agent has authority, and the principal fails to correct this belief.
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