Wisconsin Real Estate License Agency Law and Relationships 2

Question 1

In Wisconsin, when does an agency relationship between a broker and a consumer typically begin?

Accepted Answer

When a written listing or buyer agency agreement is signed

Answer

An agency relationship in Wisconsin is created when the parties sign a written agreement authorizing the firm to act on the client's behalf.

Question 2

Under Wisconsin law, what duty requires a licensee to keep a client's confidential information private even after the transaction ends?

Accepted Answer

Confidentiality

Answer

The duty of confidentiality obligates a licensee to protect a client's confidential information indefinitely, including after closing.

Question 3

A Wisconsin firm representing both the buyer and seller in the same transaction is engaging in what practice?

Accepted Answer

Multiple representation (dual agency)

Answer

When one firm represents both parties in a transaction it is providing multiple representation, which requires written consent.

Question 4

What written document must a Wisconsin broker provide describing the different agency relationships available to consumers?

Accepted Answer

Disclosure to Customers / agency disclosure statement

Answer

Wisconsin requires licensees to provide consumers with a disclosure explaining the agency relationships the firm offers.

Question 5

In Wisconsin, a licensee working with a buyer who has NOT signed a buyer agency agreement generally treats that buyer as a:

Accepted Answer

Customer

Answer

Without a written agency agreement, the buyer is a customer to whom the licensee owes fair and honest dealing but not full client-level duties.

Wisconsin Real Estate License Practice Test