Agent Diane is hosting an open house for a listed property in Columbia, SC. A visitor named Tom walks in and asks Diane, 'How much did the sellers pay for this house, and are they willing to take less than the asking price?' Before answering Tom's questions, what must Diane do under South Carolina law?
Correct Answer
C) Present the SC agency disclosure form to Tom before engaging in substantive discussion
Tom's questions about the sellers' purchase price and willingness to negotiate are substantive in nature — they go beyond general property information and touch on negotiation strategy and seller motivation. Under SC law, this constitutes first substantive contact, and Diane must present the required agency disclosure form before responding. The open house setting does not exempt licensees from this obligation.
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Related Topics & Key Terms
Key Terms:
Related Concepts
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.
In real estate, a client is someone to whom the agent owes fiduciary duties through an agency relationship, while a customer is a third party to whom the agent owes only honesty and fair dealing.
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