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Ethics ComplianceWAMEDIUM

A WA agent discovers their client, a seller, has been providing false information about the property's rental history to potential buyers. What is the agent's obligation?

Correct Answer

B) Stop repeating the false figures, have the seller correct them, and withdraw if needed

An agent must not knowingly participate in misleading or deceptive conduct. If the agent knows the seller's representations are false, they must refuse to pass on the false information, advise the seller to provide accurate information, and may need to terminate the agency agreement if the seller continues to insist on providing false information.

Answer Options
A
Keep passing on the seller's figures, since the agent is only a conduit for them
B
Stop repeating the false figures, have the seller correct them, and withdraw if needed
C
Report the seller to the police at once and suspend all marketing until charges are laid
D
Leave it alone, as buyers are expected to verify rental history through their own checks

Why This Is the Correct Answer

An agent who knows information is false must not pass it on; the proper course is to correct it with the seller and withdraw if the seller insists.

Why the Other Options Are Wrong

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Related Topics & Key Terms

Key Terms:

false informationmisleading conductterminate agency
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