What action did the broker take that violated the agency relationship with the seller?

Prepare for the South Dakota Real Estate Test. Ace your exam with flashcards and multiple choice questions. Each question is supported with hints and explanations to help you succeed!

The action that violated the agency relationship with the seller involves the broker advising the buyer to submit a low offer. In an agency relationship, the broker has a fiduciary duty to represent the interests of the seller, which includes negotiating the best possible terms for them. By directing the buyer to make a low offer, the broker is undermining the seller’s position and interests, which is contrary to their obligation to act in the seller's best interest. A broker should be working diligently to achieve the highest sales price for the seller, rather than encouraging offers that could disadvantage them. This action not only breaches the trust inherent in the agency relationship but also goes against the legal and ethical standards that guide real estate practices.

On the other hand, the other options do not accurately capture a direct violation of the agency relationship in the same manner. For instance, while failing to disclose a defect in the property could pose legal issues, it does not specifically indicate a breach of the broker's obligation to the seller regarding negotiations. Refusing to respond to the seller’s requests and not communicating with the seller can indicate poor service or negligence but does not inherently violate the core fiduciary duty to act in the seller's best interest during negotiations.

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