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Texas Agency LawFiduciary_duties_txMEDIUM

Sales agent Rivera is the listing agent for a property. The seller instructs Rivera to not show the property to any buyers from a specific ethnic background. Under the duty of obedience, what must Rivera do?

Correct Answer

B) Refuse to follow the instruction because it violates fair housing laws and is therefore unlawful

The duty of obedience extends only to lawful instructions. Instructions that violate the Fair Housing Act are unlawful, and Rivera must refuse to follow them. Discriminating based on ethnicity violates federal and Texas fair housing laws.

Answer Options
A
Follow the seller's instruction because the duty of obedience requires compliance with client directions
B
Refuse to follow the instruction because it violates fair housing laws and is therefore unlawful
C
Follow the instruction but document it in the file for protection
D
Follow the instruction but also inform prospective buyers of the restriction

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Related Topics & Key Terms

Key Terms:

obedienceunlawful_instructionfair_housingdiscrimination

Related Concepts

A relationship where a listing broker authorizes other brokers to act as agents of the seller, extending the seller's agency relationship to cooperating brokers.

A non-agency relationship where the broker facilitates a real estate transaction without representing either party, owing limited duties of honesty, fairness, and competence to both.

The legal principle that holds a broker responsible for the actions of their agents and employees performed within the scope of the agency relationship.

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