Agency and License Law Practice Question
Question
A client asks whether a fact should be disclosed for the Ohio Real Estate Salesperson Exam involving confidentiality and Ohio Division of Real Estate. Which answer best reduces risk? (Item 114)
Answer choices
- A. The rule applies only to commercial transactions and never to residential transactions.
- B. Protect confidential client information unless disclosure is authorized or required in a way that fits Ohio exam practice.
- C. Client funds may be mixed with business funds if the broker reconciles the account later.
- D. The issue can be ignored if the parties want to close quickly.
Correct Answer
B. Protect confidential client information unless disclosure is authorized or required in a way that fits Ohio exam practice.
Explanation
The correct answer is B because confidentiality requires candidates to protect confidential client information unless disclosure is authorized or required. The Ohio reference keeps the scenario tied to state licensing practice, while the other options rely on unsafe assumptions about oral custom, escrow, client preference, independent licensee authority, or ignoring written duties.
Question details
- Difficulty: medium
- Domain: Agency and License Law
- Objective: confidentiality