License Law and Agency Practice Question
Question
A broker reviews a transaction file with a new salesperson in a New York real estate transaction involving buyer representation. Which statement is the best answer? (Item 161)
Answer choices
- A. Apply fiduciary duties owed to a buyer-client under a buyer agency relationship.
- B. The client’s preference eliminates the need to disclose known material facts.
- C. The party who complains first automatically receives the legal remedy requested.
- D. Escrow automatically assumes all brokerage disclosure and agency duties.
Correct Answer
A. Apply fiduciary duties owed to a buyer-client under a buyer agency relationship.
Explanation
The correct answer is A because buyer representation requires candidates to apply fiduciary duties owed to a buyer-client under a buyer agency relationship. The other options rely on unsafe assumptions about custom, oral agreement, escrow, client preference, or independent salesperson authority and do not reflect sound New York exam practice.
Question details
- Difficulty: easy
- Domain: License Law and Agency
- Objective: buyer representation