Under Michigan law, when must a licensee disclose the agency relationship to a prospective buyer who is not yet a client?
Correct Answer
C) At the first contact or as soon as practicable, and no later than the time a purchase agreement is signed
Michigan law requires licensees to disclose their agency relationship to prospective buyers at the first contact or as soon as practicable, and no later than the time a purchase agreement is signed. This ensures buyers understand who the agent represents before they provide confidential information or enter into binding commitments.
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Related Topics & Key Terms
Key Terms:
Related Concepts
The legal obligation to reveal information that could affect a party's decision to enter into or the terms of a real estate transaction.
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.
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