Agency
What is 'scope of authority' in a Nevada real estate agency relationship?
AThe geographic area where an agent may operate in Nevada
BThe extent of an agent's authority to act on behalf of their principal, defined by the agency agreement and applicable law — actions taken outside the scope may not bind the principal✓ Correct
CThe range of property types an agent is permitted to sell
DThe number of clients an agent may represent simultaneously
Explanation
Scope of authority defines what the agent is empowered to do on behalf of the principal. Express authority is explicitly granted (the listing agreement says the agent may advertise and show the property). Implied authority includes acts reasonably necessary to carry out the express authority. Actions outside the scope may not bind the principal unless ratified. In Nevada, agents must stay within their authorized scope — overstepping can create legal liability for both the agent and brokerage.
Related Nevada Agency Questions
- What is 'procurement' and 'procuring cause' in Nevada real estate?
- What does the term 'ratification' mean in the context of Nevada agency law?
- What is the difference between an exclusive right to sell listing and an exclusive agency listing in Nevada?
- What is the duty of a Nevada agent when presenting multiple offers to a seller?
- What is a broker's liability for an agent's fraudulent acts in Nevada?
- A seller's agent has a duty to disclose to a buyer which of the following?
- When does an agency relationship in Nevada typically terminate?
- A buyer's broker agreement in Nevada:
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