South Carolina License Law

In South Carolina, a licensee who negotiates a secret profit from a transaction for their own benefit, without disclosure to the client, commits:

AAn acceptable business practice
BA breach of fiduciary duty and a license law violation✓ Correct
COnly a tax violation
DA minor ethical breach with no legal consequence

Explanation

Earning undisclosed profits from a client's transaction — such as receiving kickbacks or hidden fees — is a serious breach of the fiduciary duty of loyalty and a violation of SC license law. Full disclosure of any compensation or conflict is required.

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