Fiduciary Duties in New Jersey - Flashcards Flashcards

Fiduciary Duties in New Jersey - Flashcards Flashcards Non-agentA licensee acting as a facilitator but not in a representative capacity in a transaction EstoppelA legal concept that says that a person may not disavow something that the person had previously affirmed either by action or words Universal agentA person with unlimited power to act for another, such as a conservator or one who holds a broad scope power of attorney Sub-agentA licensee from a competing firm who brings the buyer to the deal, but instead of representing the buyer, works under the listing agent as a representative of the seller Reasonable skill and careA duty owed to a client by an agent, reasonable care requires the agent to act at the utmost professional level in serving the client RatificationAcceptance after the fact, sometimes in contrast to a prior agreement ClientA person who enlists the services of a real estate licensee to aid in a property transaction ConsumerOne who purchases services or products, such as real estate or mortgage services, but who is not a client General AgentsA person who is authorized to act for another (the principal or client) in a range of matters or multiple transactions AgencyThe relationship between the real estate professional and the person or persons being represented (the principals) Seller agencyA relationship where the licensee represents the seller in a real estate transaction Buyer agencyBuyer/agent relationship in which the broker is the agent for the buyer, with fiduciary responsibility to the buyer ObedienceOne of the duties an agent owes to the client, obedience means carrying out all lawful instructions of the client LoyaltyOne of the fiduciary duties, loyalty means putting the client's interests ahead of all others, including your own DisclosureProviding information to the principal, or any party to a transaction, that is required to be provided by law.Disclosure is one of the duties required of an agent.Agency LawLaw related to the agency relationship Express agencyAn agency agreement entered into when both parties agree to and understand the arrangement via written or oral communication between the parties Fiduciary dutiesThe duties of obedience, loyalty, disclosure, confidentiality, accounting, and reasonable skill and care comprise the list

of fiduciary duties an agent owes the principal.

Cooperating agentAn agent from another firm who assists in the sale of a property Transaction brokerA licensee acting as a facilitator but not in an agency capacity in a transaction ConfidentialityOne of the fiduciary duties, confidentiality means an agent must keep the client's information confidential, provided the agent is not legally required to disclose it. Confidentiality is one of the duties that survives agency termination.Special agentsAn agent whose scope of authority is limited to a specific area CustomerA person related to the transaction whom the agent does not represent PrincipalThe person represented by an agent in a real estate transaction Consumer Information StatementAgency disclosure form used in New Jersey Implied agencyAgency that is created from the actions of the parties rather than express agreement Limited agentsOne who acts on a principal's behalf, but within a very limited scope Single agencyWhen a licensee/brokerage firm acts in a fiduciary capacity for either the buyer/tenant or the seller/landlord in a real estate transaction, but not for both AccountingOne of the fiduciary duties, accounting means an agent is accountable for any funds or properties entrusted to the agent. This is a duty that survives termination of an agency agreement Agency coupled with interestA situation in which the agent has a financial stake in the transaction beyond the anticipated commission FiduciaryA person in whom another's trust and confidence are placed