What is correct about fiduciary duties in a listing arrangement when a listing agent reveals the seller's minimum acceptable price to a buyer?

• A. No fiduciary breach occurred; the agent acted properly.
• B. The listing agent violated fiduciary duty to the seller by sharing the minimum price with the buyer.
• C. The buyer's agent violated by not disclosing the price.
• D. The seller's agent must never reveal the minimum to any buyer.

Answer: (B)

The key idea is fiduciary duty to maintain confidentiality for the seller. In a listing, the seller’s agent owes loyalty and must protect the seller’s confidential information, including the seller’s minimum acceptable price. Revealing that minimum to a buyer undermines the seller’s negotiating position and can pressure the seller to accept a price they don’t want, which is exactly the kind of misused information a fiduciary is supposed to safeguard against. Unless the seller explicitly authorizes sharing that minimum or the information is already public, the listing agent’s disclosure is a breach of duty to the seller.

That’s why this option is the best: it correctly identifies the fiduciary breach caused by divulging the seller’s minimum price. The other statements either shift responsibility inappropriately or treat disclosure as an absolute rule, which does not reflect the duty to keep confidential information unless authorized.