During a dual agency transaction in Maryland, both the buyer and seller have signed the required MREC Consent for Dual Agency form. The buyer asks the dual agent what the seller's minimum acceptable price is. How should the dual agent respond under Maryland law?
Correct Answer
D) Refuse to disclose the seller's minimum price because confidential client information is protected even in dual agency
Under Maryland's dual agency framework, even after both parties sign the MREC Consent for Dual Agency form, the dual agent retains the duty to protect each party's confidential information. The seller's minimum acceptable price is confidential information that the dual agent cannot disclose to the buyer. Maryland law specifically limits the dual agent's role to facilitate the transaction without advocating for either party or revealing confidential information from one side to the other.
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Related Topics & Key Terms
Key Terms:
Related Concepts
The legal principle that holds a broker responsible for the actions of their agents and employees performed within the scope of the agency relationship.
An agency relationship created when a principal's actions or words lead a third party to reasonably believe that an agent has authority, and the principal fails to correct this belief.
An agency relationship created when a principal approves or accepts an agent's previously unauthorized actions, effectively granting authority after the fact.
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