A vendor asks their agent to only show the property to 'suitable buyers' and specifically requests not to show it to people from certain ethnic backgrounds. How should the agent respond?
Correct Answer
C) Refuse the instruction, because it would require unlawful racial discrimination
Agents must refuse instructions that would require them to discriminate based on race, ethnicity, or other protected characteristics under anti-discrimination legislation. Professional conduct standards require agents to comply with all relevant laws, even when principals request otherwise.
Why This Is the Correct Answer
Refusing a buyer because of race or ethnic origin is unlawful under federal and state anti-discrimination law. An agent's duty to obey covers lawful instructions only, so the agent must refuse this one.
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A real estate agent receives two offers on a property at the same time. One offer is higher but comes from the agent's business partner. How should the agent handle this situation?
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A vendor instructs their agent not to accept offers below $500,000, but the agent believes the property is only worth $450,000 based on recent comparable sales. What is the agent's best course of action?