Under current Illinois agency law, which of the following statements is NOT accurate?
Correct Answer
A) A licensee owes the same fiduciary duties to a customer as to a client, because Illinois law makes no distinction between the two roles.
Under the Illinois Real Estate License Act of 2000 (225 ILCS 454/15-15 and 454/15-20), Illinois law draws a clear distinction between a 'client' and a 'customer.' A client is a consumer who has entered into a brokerage agreement and is owed full fiduciary-level duties, including loyalty, confidentiality, and promotion of best interests. A customer is a consumer who has not entered into a brokerage agreement and is owed only limited duties — primarily honest treatment and disclosure of known latent material adverse facts. Applying full client-level duties to every customer is inaccurate under Illinois law.
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