Oregon Real Estate Practice Test

Does the duty a real estate agent owes to their principal of confidentiality end after the agency relationship ends?

1. Yes, it does end after

2. No, it survives the ending

3. It depends on the agreement

4. Only for certain information

The correct answer is: No, it survives the ending

In the context of real estate agency relationships, the duty of confidentiality that a real estate agent owes to their principal continues even after the agency relationship has ended. This ongoing obligation is rooted in the principle that clients should trust their agents with sensitive information, and that trust extends beyond the duration of the formal relationship. The agent must continue to protect the confidentiality of the information obtained during the course of the agency. This means they cannot disclose or use any confidential information learned while representing their principal for their own benefit or to the detriment of the former client. This protection of confidentiality promotes ethical behavior and maintains the integrity of the profession, reassuring clients that their private matters will remain so even after the business relationship concludes. In practice, this means that regardless of whether the property has been sold or the client has decided to work with a different agent, the information shared during their time together is protected. This principle helps to maintain credibility and trustworthiness in the real estate industry.