AgencyIntermediateCalifornia Exam

Which of the following actions by a listing agent would constitute a breach of fiduciary duty to the seller?

ASubmitting all offers to the seller, including low offers
BDisclosing the seller's need to sell quickly to a prospective buyer to generate a faster saleCorrect
CAdvising the seller on a reasonable listing price based on comparable sales
DMarketing the property on the MLS and other advertising channels

Why Disclosing the seller's need to sell quickly to a prospective buyer to generate a faster sale Is Correct

Answer B: Disclosing the seller's need to sell quickly to a prospective buyer to generate a faster sale

Disclosing the seller's motivation (urgency to sell) to a buyer is a serious breach of the agent's duty of confidentiality and loyalty. This information gives the buyer negotiating leverage and undermines the seller's position — a direct violation of fiduciary duty.

Exam Tip: Agency

Agency questions are among the most tested on the exam. Focus on the difference between client and customer, and memorize the fiduciary duties (OLD CAR). Watch for questions that try to blur the line between a general agent and a special agent.

Key Agency Terms in This Question

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