During an open house in Wasilla, a buyer named Kevin tells the listing agent, "I love this house and I'll pay whatever it takes to get it." The listing agent does not represent Kevin. Under Alaska law, what must the listing agent do with this information?
Correct Answer
A) Disclose the information to the seller because the listing agent's fiduciary duty runs to the seller, not to Kevin
Under Alaska agency law and 12 AAC 64.010, a listing agent owes fiduciary duties exclusively to the seller. Kevin is a customer (not a client) of the listing agent, so the listing agent has no duty of confidentiality to Kevin. Any information Kevin voluntarily discloses that is material to the transaction — including his willingness to pay the asking price or more — must be disclosed to the seller. This is a core component of the fiduciary duty of disclosure owed to the seller.
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Previous Question
Broker Linda's office in Juneau has two salespersons: Agent A represents the seller of a property listed at $450,000, and Agent B represents a buyer who wants to make an offer on that same property. Both agents work under Broker Linda. Under Alaska law, what agency arrangement is most appropriate for this situation, and what must occur before it can proceed?
Next Question
Broker Chen in Anchorage represents a buyer who wants to purchase a remote fly-in property accessible only by small aircraft in the interior of Alaska. The property has no road access and is off the electrical grid. Under Alaska agency law, which of the following best describes Broker Chen's obligation regarding the property's access and utility status?