AgencyIntermediateCalifornia Exam

Which of the following is NOT a fiduciary duty owed by an agent to a client?

ALoyalty

BConfidentiality

CGuarantee of saleCorrect

DReasonable care and diligence

Why Guarantee of sale Is Correct

Answer C: Guarantee of sale

Fiduciary duties include loyalty, confidentiality, disclosure, obedience, accounting, and reasonable care. Agents do not guarantee a sale; they are obligated only to use reasonable care and diligence in serving the client's interests.

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.

Key Agency Terms in This Question

Fiduciary Duty

The highest legal duty an agent owes to a principal — requiring the agent to act in the principal's best interest above all others.

Lien

A financial claim against a property that serves as security for a debt or obligation, giving the creditor the right to foreclose if unpaid.

People Also Study

Key Terms to Know

Fiduciary Duty

The highest legal duty an agent owes to a principal — requiring the agent to act in the principal's best interest above all others.

Lien

A financial claim against a property that serves as security for a debt or obligation, giving the creditor the right to foreclose if unpaid.

Buyer's Agent

A real estate licensee who represents the buyer's interests in a transaction, owing fiduciary duties to the buyer.

Seller's Agent (Listing Agent)

A real estate licensee who represents the seller's interests, markets the property, and owes fiduciary duties to the seller.

Study This Topic

Agency Law Guide

Practice More California Real Estate Questions

1,500+ questions covering all exam topics. Start free — no signup required.

Take the Free California Quiz →