Florida Broker Practice Exam

Which of the following is NOT a duty of a Transaction Broker?

1. Disclose all known facts

2. Exercise limited confidentiality

3. Present offers in a timely manner

4. Act with undivided loyalty

The correct answer is: Act with undivided loyalty

A Transaction Broker in Florida operates under a specific set of duties, which focus on facilitating the transaction without representing either party as a fiduciary. This means that while a Transaction Broker is responsible for certain actions, they do not owe the same level of loyalty as a single agent does. Acting with undivided loyalty is a duty associated with single agents, who must prioritize their client's interests above all else. In contrast, a Transaction Broker provides a lower level of service and does not have a fiduciary relationship with either party. Their role is more about providing a neutral ground to help facilitate the transaction, thus allowing for a more objective approach. The other responsibilities of a Transaction Broker, such as disclosing all known facts, exercising limited confidentiality, and presenting offers in a timely manner, are key aspects of their role. These duties are designed to ensure fair and honest dealings during the transaction process. By clarifying this distinction, it becomes evident why undivided loyalty is not a duty of a Transaction Broker, as this concept is rooted in the representation level of single agents.