Agency
In NJ, a broker who misrepresents the commission rate in a listing agreement to the seller is guilty of:
AA minor administrative error
BMisrepresentation and a breach of fiduciary duty, potentially subject to NJREC discipline and civil liability✓ Correct
COnly a contract dispute
DA routine business practice
Explanation
Misrepresenting the commission rate or other material terms in a listing agreement is a breach of fiduciary duty and may constitute fraud or misrepresentation, subjecting the broker to NJREC discipline and civil liability.
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