If someone acts on behalf of another, what are they called?

Prepare for the Delaware Real Estate Test with flashcards and multiple choice questions. Each question provides hints and explanations. Get ready for your exam!

When someone acts on behalf of another, they are referred to as an agent. This role involves representing another person, typically known as the principal, in various matters, which can include real estate transactions, contractual agreements, or legal issues. The agent has the authority to make decisions and take actions in the best interest of the principal, as outlined in the agency agreement they enter into.

This concept is foundational in real estate, as agents facilitate buying, selling, and renting properties while protecting their clients' interests. The relationship is built on trust and fiduciary responsibilities, where the agent must act in good faith and prioritize the client's needs.

In contrast, a client is the person receiving the agent's services and does not represent others. A mortgage lender is a financial institution or individual that provides loans for real estate purchases, while a trustor is someone who creates a trust. These roles, while important in real estate, do not specifically denote someone acting on behalf of another person in the same manner that an agent does.

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