Listing broker learns prospective buyer owes delinquent child support. Which duty requires disclosure to seller?
Correct Answer
D) Disclosure of material facts
The duty to disclose material facts (Option D) is the most precise and legally accurate answer because it specifically addresses the broker's obligation to share information that could materially affect the seller's decision to accept an offer from this buyer. Under California Civil Code § 2079 and the fiduciary duties owed to a seller-client, 'material facts' is the legal term of art that encompasses buyer financial reliability issues, including potential liens from delinquent child support under California Family Code § 17522. General duties like 'honesty' or 'good faith' are broader and less specific to this disclosure obligation.
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Related Topics & Key Terms
Related Topics:
Key Terms:
Related Concepts
An agency relationship created when a principal approves or accepts an agent's previously unauthorized actions, effectively granting authority after the fact.
The legal requirement for real estate agents to inform all parties about who they represent in a transaction, typically provided at first substantive contact.
A legal relationship in which one person (the agent) is authorized to act on behalf of another person (the principal) in business transactions with third parties.
More Laws Of Agency Fiduciary Duties Questions
When the administrator of an estate sells a parcel:
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