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AgencyBroker_liabilityHARD

Under the doctrine of respondeat superior, who is held vicariously liable for the wrongful acts of a salesperson committed within the scope of employment?

Correct Answer

B) The employing broker

Respondeat superior is the legal doctrine of vicarious liability under which an employing broker is held legally responsible for the wrongful acts of their licensed salespersons committed within the scope of employment. In Arkansas, brokers are responsible for supervising their agents, and this doctrine reinforces that accountability.

Answer Options
A
The buyer of the property
B
The employing broker
C
The salesperson acting as agent for the broker
D
The Arkansas Real Estate Commission

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Related Topics & Key Terms

Related Topics:

broker supervisionvicarious liabilityscope of employmentErrors & Omissions insuranceAREC disciplinary authority

Key Terms:

respondeat superiorvicarious liabilityemploying brokerscope of employmentbroker supervision

Related Concepts

The legal ending of an agency relationship, which can occur through completion, expiration, mutual agreement, breach, death, incapacity, or bankruptcy of either party.

The fiduciary obligation to protect a client's private information and not disclose it to third parties without permission, surviving even after the agency relationship ends.

In real estate, a client is someone to whom the agent owes fiduciary duties through an agency relationship, while a customer is a third party to whom the agent owes only honesty and fair dealing.

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