Licensee Donna represents buyer Carl in the purchase of a Boston condominium. Under Massachusetts buyer agency law, which of the following is NOT a fiduciary duty that Donna owes to Carl?
Correct Answer
C) Guaranteeing that the property is free from all physical defects and environmental hazards
A buyer's agent in Massachusetts owes fiduciary duties including loyalty, confidentiality, disclosure of material facts, obedience, reasonable care, and accounting. However, a buyer's agent does NOT guarantee that the property is free from all physical defects or environmental hazards. The duty is one of reasonable care — recommending inspections, advising on observed conditions, and disclosing known material facts — not an absolute warranty of the property's condition. Guaranteeing the physical condition of a property is not a fiduciary duty and would impose an impossible standard on licensees.
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Related Topics & Key Terms
Key Terms:
Related Concepts
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.
The legal ending of an agency relationship, which can occur through completion, expiration, mutual agreement, breach, death, incapacity, or bankruptcy of either party.
The fiduciary obligation to protect a client's private information and not disclose it to third parties without permission, surviving even after the agency relationship ends.
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