A buyer's agent in New York learns during negotiations that her client's absolute maximum purchase price is $25,000 above the client's initial offer. Without the client's authorization, sharing this information with the listing agent would violate which fiduciary duty?
Correct Answer
B) Confidentiality, because the information concerns the client's negotiating position and financial limits
Confidentiality is the fiduciary duty that specifically protects a client's personal and financial information — including negotiating limits and budget ceilings — from disclosure to adverse parties without the client's authorization. Sharing a buyer's maximum price with the listing agent would directly undermine the buyer's negotiating position and constitutes a breach of this duty under New York agency law.
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Previous Question
Michelle is a buyer's agent representing client Kevin who is interested in a cooperative apartment in Manhattan. The co-op requires a minimum 20% down payment and has a strict subletting policy allowing only 2 years of subletting during the first 5 years of ownership. Kevin plans to relocate for work after 18 months and wants to sublet the apartment. What should Michelle advise Kevin?
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Brian is a buyer's agent representing client Linda who wants to purchase a condominium unit in a new development in Queens. The developer is offering a 421-a tax abatement that will expire in 8 years. Linda asks Brian to explain how this will affect her future carrying costs. What should Brian advise Linda?