A listing agent discovers that a competing offer came from a buyer who is the business partner of another agent in their brokerage. The listing agent was not previously aware of this relationship. What should they do?
Correct Answer
B) Present the offer but disclose the relationship to their seller client
The agent must present all offers received but has a duty to disclose any potential conflicts or relationships that could affect their client's decision-making. The business relationship between the buyer and a colleague creates a potential conflict that the seller should know about when evaluating offers.
Why This Is the Correct Answer
Option B correctly balances two fundamental fiduciary duties: presenting all offers and providing full disclosure. Under TRESA and provincial regulations, agents must present every offer received while disclosing material facts that could affect their client's interests. The business relationship between the buyer and a brokerage colleague is material information that could influence the seller's evaluation of the offer's credibility, negotiation strategy, or potential complications. This disclosure allows the seller to make an informed decision while ensuring the agent fulfills their duty to present all offers.
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A BC licensee represents two buyer clients, and both now want to make competing offers on the same property. Under the Real Estate Services Rules, how may the licensee continue?
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