Oregon broker Priya has been showing homes to buyers Ethan and Fiona. During their third meeting, Ethan mentions that they are going through a divorce and must purchase a home quickly or face losing their financing. Priya has not yet established a formal written buyer agency agreement. Which of the following statements best describes Priya's obligations under Oregon agency law at this point?
Correct Answer
D) Priya must have already provided the Initial Agency Disclosure Pamphlet and should clarify the agency relationship in writing before proceeding further
Under ORS 696.820, Oregon licensees must provide the Initial Agency Disclosure Pamphlet at first contact or at the earliest practicable opportunity, and before the licensee provides substantive real estate services. After multiple showings, Priya should have already provided this disclosure. Additionally, because Ethan has shared confidential information (the urgency due to divorce), Priya has a duty to clarify the nature of the agency relationship in writing to ensure the clients understand their protections and Priya's obligations.
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Related Topics & Key Terms
Key Terms:
Related Concepts
The legal principle that holds a broker responsible for the actions of their agents and employees performed within the scope of the agency relationship.
An agency relationship created when a principal's actions or words lead a third party to reasonably believe that an agent has authority, and the principal fails to correct this belief.
An agency relationship created when a principal approves or accepts an agent's previously unauthorized actions, effectively granting authority after the fact.
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