Agent Rivera in Kentucky is representing both the buyer and the seller in the same transaction with written consent from both parties. During negotiations, the seller tells Agent Rivera in confidence that she would accept $15,000 less than the asking price. What is Agent Rivera's obligation under Kentucky dual agency rules?
Correct Answer
C) Maintain confidentiality and not disclose the seller's minimum acceptable price to the buyer
Under Kentucky dual agency rules consistent with 201 KAR 11:121 and KRS Chapter 324, a dual agent must maintain confidentiality for both parties. The seller's willingness to accept less than the asking price is confidential information that the dual agent cannot disclose to the buyer. Dual agency limits the agent's ability to advocate fully for either party, but the duty of confidentiality remains intact for both clients.
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Related Topics & Key Terms
Key Terms:
Related Concepts
The fiduciary obligations owed by a listing agent to the seller, including marketing the property, presenting all offers, and protecting the seller's confidential information.
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.
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