Free 5-question sample test with instant feedback. See how ready you are.
Question 1
What does the acronym COALDA stand for in the context of fiduciary duties?
Answer: COALDA stands for Care, Obedience, Accountability, Loyalty, Disclosure, and Confidentiality — the six fiduciary duties an agent owes to a principal.
Question 2
Which fiduciary duty requires an agent to follow all lawful instructions given by the principal?
Answer: The duty of Obedience requires the agent to follow all lawful instructions of the principal, even if the agent disagrees with them.
Question 3
What does the fiduciary duty of Loyalty require a real estate agent to do?
Answer: Loyalty requires the agent to put the principal's interests above all others, including the agent's own interests.
Question 4
How long does the fiduciary duty of Confidentiality survive after an agency relationship ends in New York?
Answer: The duty of Confidentiality survives indefinitely — it continues even after the agency relationship has been terminated.
Question 5
Which fiduciary duty obligates an agent to disclose any information that might affect the principal's decision-making?
Answer: The duty of Disclosure requires the agent to inform the principal of all relevant facts and information that could affect the transaction.