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51 Cards in this Set
- Front
- Back
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What is Agency?
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Person acts on behalf of another
Fiduciary Relationship Laws Govern Agency Practices Common Laws Statutory Laws |
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Agency Relationships
Licensed Parties |
Salesperson or Broker
Associate Salesperson or Broker Agent, Subagent Seller or Landlord Agent Buyer or Tenant Agent Intermediary |
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Agency Relationships
Consumers |
Client or Customer
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Consumer Agency Relationships Client
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Advice
Opinions Highest Level of Service |
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Consumer Agency Relationships Customer
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Information
Assistance Fair Treatment |
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Why Study Agency
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Increased Use of More than One Broker
Greater Licensee Professionalism State Agency Disclosure Laws Required Topic of Study |
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TRELA
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Legislature Created in 1949
Legal Framework for Licensees Agency Law Defined |
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The Real Estate Commission
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Nine Appointed Members
Function Enforce TRELA to Protect the Public Oversee Licensing Monitor Educational Activities Empowered by Texas Administrative Code (TAC) |
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Agent Works on
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Behalf of Another
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TRELA Establishes
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Licensee Duties
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Work for
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Clients
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Work with
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Customers
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Avoid Unauthorized
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Representation
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Avoid Agency
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Misunderstandings
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Suggestions for Brokers
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Develop Company Agency Disclosure Policy
Establish Training Programs for Sales Associations Broker Responsible for Licensee Professional Actions |
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Suggestions for Associates
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Recognize Various Agency Relationships
Continually Update Agency Education Know and Apply YOUR Broker’s Services Do Not Contradict Office Policy |
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Agency is
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Agency occurs when one person, the agent, acts on behalf of another
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an agent works on behalf
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22 TAC 531.1 states that the primary duty of the real estate agent is to represent
the interests of the agents client |
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---created TRELA in --- to establish the duties of licensees.
TRELA is administered by --- |
Texas Legislature created TRELA in 1949 to establish the duties of licensees.
TRELA is administered by TREC. |
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the texas real estate commission
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The broker is responsible for the professional acts of all licensees associated
with the broker. [TRELA 1(C); 22 TAC 535.2(a)] |
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a broker is representing john smith a buyer in this transaction mr smith is considered
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Clients are represented by licensees who are acting as agents; customers
represent themselves. Also, TRELA 15C.(c) states: A licensee who represents a party in a real estate transaction acts as that partys agent. |
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the person who engages an agent tp represent his onterests in a transaction is called
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Clients engage agents to represent the clients interests; clients are sometimes
called principals |
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a key distinction between the services that are given to clients vs customer is
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Services rendered to clients include advice, opinions, and advocacy.
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a licensee not associated with the listing broker who represents the seller through the listing broker is known as
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A subagent represents the client through a cooperative agreement with the
clients broker (i.e., two brokerage firms, one client). [TRELA 15C(m)(5)] |
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one of the best ways a broker might protect against agency problems is
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Written company policy manuals emphasize awareness of the various agency
situations salespersons will encounter in daily practice and how the sponsoring broker wishes those problems to be addressed. |
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one of the key reasons to study agency today is
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The issue of who represented whom frequently becomes the focal point of
consumer lawsuits when one of the parties wishes to rescind a contract. |
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licensee active
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a person licensed by the texas real estate commision to act as a broker or salesperson in a real estate transaction
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license inactive
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a person licensed by the texas real estate commision but not authorized to conduct business as a broker or salesperson until the license is converted to active status
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agent
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a broker that represents a seller landlord buyer or tenant salespersons or brokers licensees who represent the broker with whom they are asociated
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subagent
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a licensee not associated with the clients broker but who is representing the client through a cooperative agreement with the clients broker also called the other broker
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broker licensee
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an individual holding a brokers license issues by trec brokers may act independently in conducting real estate transactions or may engage other broker or salesperson licensees to represent them in the conduct of their real estate business
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sponsoring broker
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the broker through whom the salespersons active license is issued and who assumes responsibility for the real estate brokerage activities of that salesperson
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fiduciary
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representing interest of client
agent be faithful and observant to the trust placed in the agent to be scrupulous and meticulous in performing the agents function place no personal interest above that of the agents client |
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salesperson licensee
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an individual holding a salespersons license issued by trec an agent of the sponsoring broker salesperson licensee may conduct business only through their sponsoring broker
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broker associate
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a broker associated with and conducting business as an agent of another broker who accepts responsibility for the brokers associate brokerage activities
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sales associate
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a salesperson licensee associated with and conducting business as an agent of his sponsoring broker
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sellers agent
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a broker representing the seller in a real estate transaction
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buyers agent
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a broker representing the buyer in a real estate transaction
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intermediary
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an agency alternative permitting the broker to act as an agent for both a buyer client and a seller client in the same transaction
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landlords agent
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a broker representing a landlord in a real estate transaction
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tenants agent
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a broker representing a tenant in a real estate transaction
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client
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a person sometimes called a principal who engages services that include the professional advice and advocacy of another called an agent and whose interests are protected by the specific duties and loyalty of an agency relationship
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customer
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a person who recieves limited brokerage service without establishing an agency relationship specifically advice advocacy and fiduciary relationships are not included in customer services
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sales associate
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a salesperson licensee associated with and conducting business as an agent of his sponsoring broker
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sellers agent
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a broker representing the seller in a real estate transaction
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buyers agent
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a broker representing the buyer in a real estate transaction
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intermediary
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an agency alternative permitting the broker to act as an agent for both a buyer client and a seller client in the same transaction
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landlords agent
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a broker representing a landlord in a real estate transaction
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tenants agent
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a broker representing a tenant in a real estate transaction
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client
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a person sometimes called a principal who engages services that include the professional advice and advocacy of another called an agent and whose interests are protected by the specific duties and loyalty of an agency relationship
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customer
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a person who recieves limited brokerage service without establishing an agency relationship specifically advice advocacy and fiduciary relationships are not included in customer services
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