BUSINESS ADMINISTRATION
BUSINESS LAW
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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duty of loyalty
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duty of obedience
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duty of reasonable care and skills
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duty of confidentiality
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Detailed explanation-1: -Loyalty. A duty of loyalty is one of the most fundamental fiduciary duties owed by an agent to his principal. This duty obligates a real estate broker to act at all times solely in the best interests of his principal to the exclusion of all other interests, including the broker’s own self-interest.
Detailed explanation-2: -Duty Not to Make a Secret Profit As per section 216 of the Indian Contract Act, agents should not make any profit or acquire any benefit in the course of their agency without their principals’ knowledge and consent. Such profit is called secret profit.
Detailed explanation-3: -Agents generally have the following duties to the principal: Loyalty, Care, Obedience, and Accounting.
Detailed explanation-4: -An agent’s primary duties are: act on behalf of and be subject to the control of the principal; act within the scope of authority or power delegated by the principal; discharge his/her duties with appropriate care and diligence; and.