Patricia is a Tennessee affiliate broker representing a buyer. During negotiations, the seller's agent reveals that the seller is going through a divorce and must sell quickly. Patricia's buyer wants to submit a lowball offer. Under Tennessee's agency law, what is Patricia's primary duty regarding this information?
Correct Answer
A) Use the information to advance her buyer client's interests in negotiations
As a buyer's agent under Tennessee's Agency Relationships in Real Estate Transactions Act (Tenn. Code Ann. § 62-13-401 et seq.), Patricia's primary duty is to promote and protect her buyer client's interests. Information about the seller's motivation and urgency to sell is exactly the type of information a buyer's agent is obligated to use to advance the buyer's negotiating position.
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Related Topics & Key Terms
Key Terms:
Related Concepts
The legal obligation to reveal information that could affect a party's decision to enter into or the terms of a real estate transaction.
The extent of power and actions an agent is authorized to perform on behalf of the principal, as defined by the agency agreement.
The fiduciary obligations owed by a listing agent to the seller, including marketing the property, presenting all offers, and protecting the seller's confidential information.
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