Agency
Negligent misrepresentation differs from fraudulent misrepresentation in that it involves:
AIntentional deception by the agent
BAn innocent but careless false statement of material fact✓ Correct
CA statement that the agent knew was false
DA verbal agreement that was not put in writing
Explanation
Negligent misrepresentation occurs when an agent carelessly makes a false statement of material fact without knowing it was false. Unlike fraud, there is no intent to deceive, but the agent failed to exercise reasonable care in verifying the information.
Related Arkansas Agency Questions
- A buyer's agent discovers that their buyer-client has a maximum budget of $300,000 but the seller is asking $280,000. Under buyer agency, the agent should:
- Arkansas law requires dual agency to be disclosed and consented to in:
- An agent who makes unauthorized commitments on behalf of the principal may create which type of agency?
- When does an agency relationship with a seller typically terminate?
- Under Arkansas law, an agent must disclose to a buyer that they have a personal financial interest in a transaction. This is required by the duty of:
- Under Arkansas law, a real estate licensee must provide an agency disclosure to prospective clients:
- The written agency disclosure required by Arkansas law must be provided to:
- Which of the following best describes a subagent?
Practice More Arkansas Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Arkansas Quiz →