Manny has a client who wants to purchase a commercial building. Manny doesn’t have any experience negotiating commercial purchases. Which action should Manny take to demonstrate his good faith and most ethical behavior toward his client?
A.
Continue to work with the client, but not tell the client about his lack of experience.
B.
Continue to work with the client, but secretly consult with a commercial broker when he has questions.
C.
Decide to no longer represent the client.
D.
Tell the client about his inexperience, but say that he'd like to continue the relationship and will consult with a professional commercial broker throughout the transaction.
Under Maryland’s Code of Ethics and Professional Conduct, licensees must act with honesty, integrity, and reasonable skill and care.
If a licensee lacks experience in a specialized area, they must disclose that fact to the client and either refer the client or seek assistance from a qualified professional—with the client’s informed consent.
By being transparent and collaborating with an experienced commercial broker, Manny fulfills his ethical obligation of competence and disclosure while protecting his client’s interests.
Reference (Maryland Source):
– Maryland 60-Hour Principles and Practices Course, Ethics and Professional Conduct section.
– COMAR 09.11.02.01 – Code of Ethics for Real Estate Licensees.
– Business Occupations and Professions Article §17-322.
Contribute your Thoughts:
Chosen Answer:
This is a voting comment (?). You can switch to a simple comment. It is better to Upvote an existing comment if you don't have anything to add.
Submit