Under Louisiana agency law, which of the following duties does a buyer's agent owe exclusively to the buyer—and NOT to the seller—in a standard buyer agency relationship?
Correct Answer
C) Confidentiality of the buyer's financial motivation and maximum willingness to pay
In a Louisiana buyer agency relationship, the licensee owes the buyer fiduciary duties including confidentiality. Specifically, the buyer's agent must keep confidential the buyer's financial motivation, urgency, and maximum willingness to pay—information that, if disclosed to the seller, would undermine the buyer's negotiating position. This duty of confidentiality runs exclusively to the buyer as the agent's client.
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Related Topics & Key Terms
Key Terms:
Related Concepts
In real estate, a client is someone to whom the agent owes fiduciary duties through an agency relationship, while a customer is a third party to whom the agent owes only honesty and fair dealing.
An arrangement where a brokerage assigns separate agents within the firm to represent the buyer and seller in the same transaction, allowing each client to have dedicated representation.
A situation where a single agent or brokerage represents both the buyer and the seller in the same real estate transaction.
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