In Alaska, the doctrine of 'apparent authority' can bind a principal when:
Why A third party reasonably believes the agent has authority based on the principal's conduct or representations Is Correct
Answer B: A third party reasonably believes the agent has authority based on the principal's conduct or representations
Exam Tip: Agency
Agency questions are among the most tested on the exam. Focus on the difference between client and customer, and memorize the fiduciary duties (OLD CAR). Watch for questions that try to blur the line between a general agent and a special agent.
People Also Study
Related Alaska Questions
- In Alaska, an agent's authority to bind the principal (client) is limited to the scope of the:Agency
- An agent's authority to bind a principal is limited to:Agency
- In Alaska, the escrow process involves a neutral third party that:Escrow & Title
- In Alaska, a neutral third party that holds funds and documents and follows instructions from both buyer and seller is called:Escrow & Title
- An Alaska real estate agent who acts beyond the scope of their authorized duties without the principal's consent may create liability for:Agency
- In Alaska, an agent who has 'apparent authority' is acting on authority that:Agency
Key Terms to Know
A legal relationship in which a licensee (agent) acts on behalf of a principal (buyer or seller) in a real estate transaction.
Dual AgencyA situation where a single real estate agent or brokerage represents both the buyer and the seller in the same transaction.
Fiduciary DutyThe highest legal duty an agent owes to a principal — requiring the agent to act in the principal's best interest above all others.
Listing AgreementA contract between a property owner and a real estate broker that authorizes the broker to market and sell the property.
Math Concepts
Study This Topic
Practice More Alaska Real Estate Questions
1,400+ questions covering all exam topics. Start free — no signup required.
Take the Free Alaska Quiz →