Under Massachusetts law and 254 CMR 3.00, which fiduciary duty requires a real estate licensee acting as a seller's agent to place the client's interests above all others, including the licensee's own financial interests?
Correct Answer
A) Loyalty
The duty of loyalty requires a licensee to place the client's interests above all others, including the licensee's own interests. Under 254 CMR 3.00, a seller's agent owes the seller fiduciary duties, and loyalty is the cornerstone duty that prevents the agent from acting in self-interest or in the interest of other parties at the client's expense.
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Related Topics & Key Terms
Key Terms:
Related Concepts
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.
A non-agency relationship where the broker facilitates a real estate transaction without representing either party, owing limited duties of honesty, fairness, and competence to both.
The legal principle that holds a broker responsible for the actions of their agents and employees performed within the scope of the agency relationship.
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