Seller Grant lists a property with Broker Evans at $500,000. Grant tells Evans the absolute minimum price is $475,000 but instructs Evans to not disclose this. A buyer makes an offer of $470,000. What must Evans do?
Correct Answer
D) Present the offer to Grant and let Grant decide, while keeping the minimum price confidential
Evans must present all offers to the seller and let the seller decide. The seller's minimum price is confidential and must not be disclosed to the buyer. Evans cannot reject offers or counter-offer without the seller's authorization.
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Related Topics & Key Terms
Key Terms:
Related Concepts
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.
An agency relationship created when a principal approves or accepts an agent's previously unauthorized actions, effectively granting authority after the fact.
More Texas Agency Law Questions
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Agent Parker provides the IABS to Buyer Harris at the first showing. Later, Harris signs a buyer representation agreement with a completely different brokerage firm. When Harris contacts Parker about another property, Parker's firm still has a listing on, must Parker provide the IABS again?
In Texas, a sales agent who is assigned by the intermediary broker to communicate with and carry out instructions of one party in a transaction is known as a(n):
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