Agent Kevin is a licensed NH salesperson at Seacoast Realty. He is the listing agent for a property in Hampton. An unrepresented buyer, Lisa, contacts Kevin directly and wants Kevin to help her write and submit an offer on the listed property. Kevin's broker agrees that Kevin may represent both parties. Kevin provides the Agency Disclosure Form to Lisa explaining the dual agency arrangement, and Lisa signs it. The seller has also signed the dual agency consent. Which of the following best describes a limitation that NH law places on Kevin as a disclosed dual agent?
Correct Answer
B) Kevin may not disclose to either party the other party's confidential negotiating position or motivation
Under NH's disclosed dual agency framework (RSA 331-A:25-b), a dual agent owes duties to both parties simultaneously, which creates an inherent limitation: the dual agent cannot disclose one party's confidential negotiating position, motivation, or other confidential information to the other party. This is a key constraint that both parties must understand when consenting to dual agency.
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Related Topics & Key Terms
Key Terms:
Related Concepts
A legal relationship in which one person (the agent) is authorized to act on behalf of another person (the principal) in business transactions with third parties.
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.
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