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AgencyDisclosure_requirementsHARD

Connecticut licensed broker Diane is representing seller Howard in the sale of his Bridgeport investment property. During an open house, unrepresented buyer Nathan approaches Diane and, after a brief general conversation, begins asking whether the property's rental income would support a specific financing structure he has in mind. Diane provides Nathan with the agency disclosure form, which Nathan refuses to sign. How should Diane proceed under Connecticut law?

Correct Answer

A) Diane should note Nathan's refusal in her records, continue the discussion, and proceed with the understanding that disclosure was offered but refused

Under CGS § 20-325c, the Connecticut licensee's obligation is to provide the agency disclosure form at first substantive contact. If a consumer refuses to sign the form, the licensee is not required to terminate the interaction. The licensee should document the refusal in their records to demonstrate that the disclosure was properly offered and refused. The disclosure obligation is satisfied by the offer and tender of the form; a consumer's refusal to sign does not prevent the transaction from proceeding.

Answer Options
A
Diane should note Nathan's refusal in her records, continue the discussion, and proceed with the understanding that disclosure was offered but refused
B
Diane must report Nathan's refusal to the Connecticut Real Estate Commission within five business days
C
Diane must have Nathan sign the disclosure form before she can provide any further information about the property
D
Diane must terminate all further discussion with Nathan until he agrees to sign the disclosure form

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Related Topics & Key Terms

Key Terms:

agency_disclosurerefusal_to_signCGS_20-325cdocumentationopen_house

Related Concepts

A practice where the agent or brokerage represents only one party in a transaction — either the buyer or the seller, but never both.

A relationship where a listing broker authorizes other brokers to act as agents of the seller, extending the seller's agency relationship to cooperating brokers.

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.

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