Connecticut salesperson Victor works for broker Metro Realty. Victor has a signed buyer representation agreement with client Sophia. Metro Realty also holds a listing for a property that Sophia wants to purchase. The broker designates Victor to continue representing Sophia and assigns senior salesperson Diane to represent the seller. Both Sophia and the seller provide written consent to the designated agency arrangement. During negotiations, Sophia tells Victor that she has a hard deadline to move in by a specific date due to her lease expiration. The seller's agent Diane asks Victor whether Sophia has any time pressure. Under Connecticut designated agency rules, which of the following most accurately describes Victor's obligation?
Correct Answer
B) Victor must keep Sophia's deadline confidential because it is privileged information belonging to his client, even within a designated agency arrangement
The defining feature of Connecticut designated agency is that each designated agent owes full, undivided fiduciary duties exclusively to their own client—not to the other party or to the other designated agent. Sophia's move-in deadline is confidential information that could materially weaken her negotiating position if disclosed. Victor must keep it confidential from Diane, the seller's designated agent, even though they work within the same brokerage. The designated agency structure creates an ethical wall between the two representatives; the fact that they share a supervising broker does not override the confidentiality duty each owes to their respective client.
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Related Topics & Key Terms
Key Terms:
Related Concepts
A non-agency relationship where the broker facilitates a real estate transaction without representing either party, owing limited duties of honesty, fairness, and competence to both.
The legal principle that holds a broker responsible for the actions of their agents and employees performed within the scope of the agency relationship.
An agency relationship created when a principal's actions or words lead a third party to reasonably believe that an agent has authority, and the principal fails to correct this belief.
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