Tip of the Week: What should you do if your client tells you they’ve decided to take some action in a transaction that you think is detrimental to their position?…(read more)

What should you do if your client tells you they’ve decided to take some action in a transaction that you think is detrimental to their position? It is your fiduciary obligation as their agent to disclose this concern to them. Suppose they insist on proceeding against your advice? In that case, you can reduce your risk by sending them an email identifying the issue and confirming that they are acting against your advice. This will provide written evidence of your objection should things go wrong later. Review your obligations under ORS 696.805 (Real estate licensee as seller’s agent; obligations) or ORS 696.810 (Real estate licensee as buyer’s agent; obligations) and ORS 696.301 (Grounds for discipline) and decide whether the buyer’s actions could lead to you violating any of your obligations. As you know, it’s better to withdraw from a representation than it is to face license discipline, an ethics hearing or a lawsuit.

All comments and responses from OREF or its staff, managers, and volunteers are non-legal opinions made for general purposes. Each Forms subscriber must rely solely upon their Principal broker or personal legal counsel for specific advice and instruction. You and your client should independently confirm that the Form(s) you use are legally suitable for the purposes intended and that they are current with respect to all laws and regulations.