What duty must an agent fulfill toward third parties?

An agent has a duty of honesty towards third parties, which is essential for maintaining trust and integrity in real estate transactions. This duty requires the agent to provide accurate information and to be truthful in all dealings, ensuring that third parties are not misled or deceived. Honesty fosters a transparent relationship between the agent, their clients, and any third parties involved.

For example, when an agent represents a property, they must disclose any known defects or issues with the property to potential buyers. This not only protects the interests of the buyers but also upholds the reputation of the real estate profession. Fulfilling the duty of honesty is crucial for building long-lasting relationships and ensuring that all parties can make informed decisions based on truthful information.

Other responsibilities like secrecy, independence, and disinterest play different roles in an agency relationship. Secrecy pertains to maintaining confidentiality regarding the client's information. Independence can refer to an agent acting without undue influence, and disinterest relates to being impartial. While these are all important, the core duty of honesty specifically addresses the relationship between the agent and third parties, promoting accountability and ethical behavior in real estate practices.