Agent Maria represents seller Carlos in the Bronx. During negotiations, the buyer's agent contacts Maria directly and offers to split his commission with Maria if she can convince Carlos to accept a lower offer. How should Maria handle this situation under New York law?
Correct Answer
B) Decline the offer and report the incident to Carlos and her broker
This situation presents a clear conflict of interest that violates Maria's fiduciary duty of loyalty to Carlos. The offer creates a financial incentive for Maria to act against Carlos's interests. She must decline and disclose this attempt to compromise her loyalty.
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A seller's agent learns that a comparable property nearby recently sold for significantly below the seller client's asking price after a deal collapsed. The seller has not yet asked about recent comparable sales. What is the agent's obligation regarding this information?
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