Maine Real Estate License Practice Exam

What must Roberta Rocklin do after discovering Mr. Quimby's job loss while acting as a subagent?

1. She owes Mr. Quimby confidentiality

2. She doesn't want the deal to fall apart so she pretends not to know

3. She is required to inform the seller within 24 hours directly

4. She must inform the listing agent

The correct answer is: She must inform the listing agent

Roberta Rocklin, acting as a subagent, has a duty to inform the listing agent about the significant development in Mr. Quimby's situation, specifically his job loss. This obligation arises from the necessity to communicate material facts that could affect the transaction. The job loss may impact Mr. Quimby’s financial stability and, consequently, his ability to proceed with the purchase, making it essential information for all parties involved. In the context of agency relationships, subagents must maintain transparency and share critical information that could influence the seller's decisions and the overall transaction. By informing the listing agent, Roberta ensures that the seller is aware of all pertinent information before any binding agreements are reached, facilitating informed decision-making. Confidentiality owed to Mr. Quimby does not negate the duty to disclose vital information to the listing agent; rather, informing the listing agent about Mr. Quimby’s circumstances aligns with her responsibilities as a subagent. Additionally, while the concern of not wanting the deal to fall apart is understandable, it cannot override the ethical and legal obligation to communicate significant changes that affect the transaction.