David is a Connecticut broker representing seller Patricia. Patricia tells David that she will accept any offer above $390,000 and that she must sell quickly due to a pending divorce. Without Patricia's permission, David shares this information with the buyer's agent to help close the deal faster. Under Connecticut agency law, David has breached which fiduciary duty?
Correct Answer
B) Confidentiality, by revealing Patricia's negotiating position without her consent
David breached the fiduciary duty of confidentiality. Under Connecticut agency law, a listing agent must protect all information that could undermine the seller's bargaining position, including the seller's minimum acceptable price and personal motivation for selling. Disclosing Patricia's divorce situation and her price floor to the buyer's agent without her consent is a textbook violation of confidentiality, regardless of David's intent to expedite the sale.
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Related Topics & Key Terms
Key Terms:
Related Concepts
A situation where a single agent or brokerage represents both the buyer and the seller in the same real estate transaction.
An agency relationship created by a clear, explicit agreement between the principal and agent, either orally or in writing.
The highest legal obligation of trust and confidence owed by an agent to their principal, requiring the agent to act solely in the principal's best interest.
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