Brokers Have Fiduciary Responsibilities to Third Parties with Whom They

question 24

True/False

Brokers have fiduciary responsibilities to third parties with whom they deal.

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Definitions:

Scope of Authority

The range or extent of power that an individual or organization legally has to make decisions or take action.

Agent

An individual or entity authorized to act on behalf of another person or entity in business matters or legal transactions.

Liable

Legally responsible for one's actions or for a particular outcome.

Principal's Identity

Refers to the clear disclosure of the principal party's identity in an agency relationship, especially in transactions.