Agent Tom represents a seller in Provo, Utah. During an open house, a visitor named Angela asks Tom detailed questions about the property and expresses strong interest in making an offer. Tom has not yet provided Angela with a written agency disclosure. At this point, what is Tom's most important obligation under Utah law?
Correct Answer
D) Tom must provide Angela with a written agency disclosure before engaging in any substantive representation activities with her
Under Utah Administrative Code R162-2f-401, a licensee must provide a written agency disclosure before showing property or engaging in activities that could constitute representation. At an open house, Tom is already showing the property, and when a visitor expresses serious interest, Tom's obligation to disclose his agency relationship — specifically that he represents the seller — becomes immediately critical. The disclosure protects Angela by clarifying that Tom works for the seller, not her.
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Related Topics & Key Terms
Key Terms:
Related Concepts
An agency relationship created when a principal approves or accepts an agent's previously unauthorized actions, effectively granting authority after the fact.
The legal requirement for real estate agents to inform all parties about who they represent in a transaction, typically provided at first substantive contact.
A legal relationship in which one person (the agent) is authorized to act on behalf of another person (the principal) in business transactions with third parties.
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