In Maryland, a licensee acting as a designated seller's agent within an intra-company agency arrangement discovers that the buyer's agent in the same brokerage has been sharing the buyer's confidential financial information with the seller. What is the MOST accurate statement about this situation under Maryland law?
Correct Answer
B) This violates the buyer's agent's fiduciary duty of confidentiality, which applies fully in intra-company agency
Under Maryland's intra-company agency framework, each designated agent owes full fiduciary duties to their respective client, including the duty of confidentiality. The buyer's agent sharing the buyer's confidential financial information with the seller directly violates this duty. The entire purpose of intra-company agency — as distinct from dual agency — is to allow each agent to maintain full, independent representation of their client, including protecting confidential information from the other party within the same brokerage.
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Related Topics & Key Terms
Key Terms:
Related Concepts
The extent of power and actions an agent is authorized to perform on behalf of the principal, as defined by the agency agreement.
The fiduciary obligations owed by a listing agent to the seller, including marketing the property, presenting all offers, and protecting the seller's confidential information.
A practice where the agent or brokerage represents only one party in a transaction — either the buyer or the seller, but never both.
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