Agency
Under Missouri agency law, an agent's authority to bind a principal is called:
ARatification
BActual or apparent authority✓ Correct
CFiduciary duty
DConstructive authority
Explanation
An agent's authority to act on behalf of the principal comes from actual authority (expressly given or implied) or apparent authority (created by the principal's conduct leading third parties to believe authority exists).
People Also Study
Related Missouri Questions
- In Missouri, an agent who enters into a transaction without authority and the principal later approves the transaction has created an agency by:Agency
- An implied agency in Missouri can be created by:Agency
- Under Missouri agency law, when an agent has 'apparent authority,' this means:Agency
- In Missouri, a real estate agent's authority to sign a contract on behalf of a client requires:Contracts
- An income property appraiser in Missouri is given a projected first-year NOI of $60,000 for a property listing at $750,000. What is the implied cap rate?Property Valuation
- In Missouri, an agent's authority to sign a purchase contract on behalf of a client requires:Contracts
- In Missouri, which agency relationship requires written consent from ALL parties involved?Agency
Key Terms to Know
Agency
A legal relationship in which a licensee (agent) acts on behalf of a principal (buyer or seller) in a real estate 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.
Dual AgencyA situation where a single real estate agent or brokerage represents both the buyer and the seller in the same transaction.
Listing AgreementA contract between a property owner and a real estate broker that authorizes the broker to market and sell the property.
Study This Topic
Practice More Missouri Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Missouri Quiz →