Connecticut licensed salesperson Gina works for Harbor Realty. She lists a property for seller Mr. Webb and later receives an inquiry from buyer Ms. Park, who is unrepresented. Gina provides the agency disclosure form at first substantive contact with Ms. Park. Ms. Park reviews the form and decides she is comfortable proceeding without her own agent and consents in writing to Gina acting as a dual agent. During negotiations, Ms. Park tells Gina that she has already sold her current home and must close within 45 days or she will be homeless. Mr. Webb then asks Gina whether Ms. Park has any urgency to close quickly. Under Connecticut dual agency rules, how should Gina respond to Mr. Webb's question?
Correct Answer
C) Gina should decline to disclose Ms. Park's specific circumstances but may confirm that Ms. Park is motivated to close in a reasonable timeframe
This is a sophisticated dual agency confidentiality question. Ms. Park's specific personal circumstances — that she has sold her home and faces homelessness if she cannot close within 45 days — are confidential information shared in confidence that Gina must protect. Disclosing the specific 45-day urgency and the reason for it would allow Mr. Webb to exploit Ms. Park's vulnerable position, breaching Gina's duty of confidentiality and neutrality as a dual agent. However, Gina is not required to be completely silent on all matters. She may confirm in general terms that Ms. Park is a motivated buyer seeking to close in a reasonable timeframe, which is a neutral, non-exploitative statement. This approach protects Ms. Park's confidential circumstances while providing Mr. Webb with a general sense of buyer motivation that does not disadvantage Ms. Park.
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Related Topics & Key Terms
Key Terms:
Related Concepts
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.
An agency relationship where the agent agrees to act on behalf of the principal without receiving compensation.
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