North Dakota Real Estate Practice Exam

Which of the following is NOT one of the agency duties required by North Dakota?

1. Loyalty

2. High profits

3. Disclosure

4. Confidentiality

The correct answer is: High profits

In the context of agency duties in North Dakota real estate, loyalty, disclosure, and confidentiality are fundamental obligations that agents owe to their clients. These duties are designed to promote trust and ensure that client interests are prioritized in every transaction. Loyalty requires agents to act in the best interest of their clients, avoiding any conflicts of interest that could compromise the client's objectives. Disclosure mandates that agents must inform their clients of all material facts and information that could impact the real estate transaction, ensuring that clients make informed decisions. Confidentiality involves keeping sensitive information about the client confidential unless permission is granted to disclose it, maintaining the trust inherent in the agency relationship. On the other hand, high profits is not recognized as an agency duty. While agents naturally aim to achieve profitable outcomes for their clients, profitability itself is not a specific obligation outlined in agency law. Therefore, it does not belong in the list of required agency duties in North Dakota. Understanding the core duties of loyalty, disclosure, and confidentiality can help you navigate the responsibilities of being an agent effectively and build strong relationships with clients.