Agency
What is a 'fiduciary' and why does this standard apply to Illinois real estate agents?
AA financial advisor; the standard applies because agents handle client money
BA person holding a position of trust; agents are fiduciaries because clients rely on their expertise and grant them authority to act on their behalf✓ Correct
CA licensed professional; all licensed professionals are fiduciaries in Illinois
DA government agent; applies only to those acting under government authority
Explanation
A fiduciary is someone in a position of trust who manages another's interests. Real estate agents are fiduciaries to their clients because clients rely on the agent's expertise, grant the agent authority to act on their behalf, and trust the agent to act in their best interest. The fiduciary relationship imposes the highest legal duty of good faith, loyalty, and fair dealing. In Illinois, the failure to fulfill fiduciary duties can result in license discipline and civil liability.
Related Illinois Agency Questions
- In Illinois, 'designated agency' is beneficial because it:
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- In a designated agency relationship in Illinois, the designated agent owes fiduciary duties to:
- An Illinois buyer's agent presents an offer that the buyer specifically asked to be submitted 'as-is.' The agent believes the offer is too low. What should the agent do?
- A listing broker discovers that the property has an underground storage tank that has not been disclosed. The broker's duty requires:
- In Illinois, 'informed consent' to dual agency must include:
- An Illinois seller's agent who works for a brokerage that also has the buyer's agent in the same transaction owes the buyer the duty of:
- What is 'seller's concession' and how does the agent's role differ from advocating for it?
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