Agent Nina represents seller Bob in listing a Columbia, Maryland home. Buyer Carlos, who has no agent, contacts Nina and wants to purchase the property. Nina explains the agency options available in Maryland. Carlos decides he wants Nina to represent him as well. Nina obtains signed written consent from both Bob and Carlos on the MREC-mandated form before showing Carlos the property again. Which statement best describes Nina's duties going forward?
Correct Answer
B) Nina owes both Bob and Carlos reduced fiduciary duties, including confidentiality for each party's sensitive negotiating information
Under Maryland dual agency law, once proper written consent is obtained, Nina owes both Bob and Carlos reduced but real duties, including the duty of confidentiality. She cannot disclose Bob's motivation, urgency, or minimum acceptable price to Carlos, nor can she disclose Carlos's maximum willingness to pay or financial situation to Bob. The dual agent's role is to facilitate the transaction without advocating aggressively for either party, while maintaining confidentiality for both.
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Related Topics & Key Terms
Key Terms:
Related Concepts
A situation where a single agent or brokerage represents both the buyer and the seller in the same real estate transaction.
An agency relationship created by a clear, explicit agreement between the principal and agent, either orally or in writing.
The highest legal obligation of trust and confidence owed by an agent to their principal, requiring the agent to act solely in the principal's best interest.
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