Under Massachusetts agency law and 254 CMR 3.00, a buyer's agent owes the buyer the fiduciary duty of 'reasonable care and diligence.' Which of the following actions by a buyer's agent would most clearly fulfill this duty in a Massachusetts real estate transaction?
Correct Answer
A) Researching comparable sales, reviewing property disclosures, and recommending professional inspections
The fiduciary duty of reasonable care and diligence requires a buyer's agent to apply professional knowledge and skill to protect the buyer's interests. Researching comparable sales helps the buyer make an informed offer, reviewing disclosures identifies potential issues, and recommending professional inspections protects the buyer from undisclosed defects. These actions collectively demonstrate the exercise of reasonable professional care required under 254 CMR 3.00.
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Related Topics & Key Terms
Key Terms:
Related Concepts
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.
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.
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