Agency
A licensee working as a buyer's agent has a personal interest in a listing their buyer wants to purchase. The agent must:
ASimply proceed since buyer representation is the agent's primary duty
BFully disclose the conflict of interest to the buyer in writing and obtain consent✓ Correct
CWithdraw from the buyer representation and let the buyer find another agent
DDisclose the interest only after the transaction closes
Explanation
A personal interest in a transaction by the agent creates a conflict of interest that must be fully disclosed in writing to the buyer-client. The buyer then decides whether to consent to the agent continuing or seek new representation.
Related Arkansas Agency Questions
- Which action by an agent would constitute a breach of the duty of loyalty?
- The duty of confidentiality survives the termination of the agency because:
- Which type of listing agreement is generally considered most advantageous to the listing broker?
- When does an agency relationship typically terminate?
- In Arkansas, when a licensee works with a buyer but has NO written buyer-agency agreement, the licensee is presumed to be:
- Which of the following would MOST likely terminate an agency relationship?
- In an in-house transaction where the same brokerage represents both buyer and seller, the broker may avoid dual agency by using:
- A cooperating broker who finds a buyer for a listed property typically earns compensation through:
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