Agency
An Arizona agent who negotiates a sale of their principal's property at a price below market to enable the agent or a related party to profit is committing:
AA permissible exercise of negotiation skill
BA breach of the fiduciary duty of loyalty and self-dealing✓ Correct
CAn acceptable practice if the principal agrees after the fact
DOnly an ethics violation, not a license violation
Explanation
Self-dealing—where an agent arranges a transaction to benefit themselves at the client's expense—is a fundamental breach of the fiduciary duty of loyalty. It is both an ethics violation and a license law violation.
Related Arizona Agency Questions
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