What fiduciary duty does the broker have while representing the seller as the subagent?

Prepare for the TREC Law of Agency Exam. Study with multiple-choice questions and detailed explanations. Get confident for your test!

The fiduciary duty of a broker representing the seller as a subagent is to work in the best interests of the seller. This principle is rooted in the concept of fiduciary duty, which requires the broker to act loyally and with utmost good faith towards their client, who in this case is the seller. The broker must prioritize the seller's needs and objectives, ensuring that any actions taken in the course of the transaction align with the seller's best interests.

In this role, the broker is expected to keep the seller informed about offers and negotiations, provide accurate and honest information, and advocate for the seller's position in discussions with potential buyers. This loyalty is fundamental to the broker’s responsibilities and helps maintain trust in the agency relationship.

The other options mentioned do not align with the broker's duty to the seller. Disclosing all information to the buyer contradicts the obligation to protect the seller's interests, and negotiating on behalf of the buyer would serve the opposite party, while representing one's own interests first would fundamentally breach fiduciary obligations owed to the seller. Thus, focusing on the seller's best interests is the correct pathway for a broker acting as a subagent.

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