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Alberta Real Estate Licensing Exam Practice · Question

A real estate associate, Mark, receives an offer on his client's property. The offer is $15,000 below the asking price, but includes very favourable conditions for the seller, such as a quick closing and a large non-refundable deposit. Mark, focusing solely on the price difference, advises his client to reject the offer. Which fiduciary duty might Mark be neglecting?

Mark's advice, based solely on price and ignoring other favourable terms, suggests a lack of reasonable care and skill in evaluating the offer comprehensively a

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Question: A real estate associate, Mark, receives an offer on his client's property. The offer is $15,000 below the asking price, but includes very favourable conditions for the seller, such as a quick closing and a large non-refundable deposit. Mark, focusing solely on the price difference, advises his client to reject the offer. Which fiduciary duty might Mark be neglecting?

Answer options: ✅ Reasonable Care and Skill

  • Confidentiality
  • Obedience
  • Accountability

Correct answer: Reasonable Care and Skill

Explanation: Mark's advice, based solely on price and ignoring other favourable terms, suggests a lack of reasonable care and skill in evaluating the offer comprehensively and providing sound advice to his client, which is a key fiduciary duty.

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