What is the primary duty of license holders when dealing with clients and customers?

Prepare for the Law of Agency Test. Delve into multiple choice questions featuring hints and explanations. Sharpen your understanding of agency law and gear up for success!

The primary duty of license holders when dealing with clients and customers is to always tell the truth. This duty is rooted in the ethical and legal standards that govern real estate professionals and agents. Honesty fosters trust, which is essential for building and maintaining relationships with clients. When license holders uphold truthfulness in their communications and transactions, they not only comply with legal requirements but also promote transparency and integrity in their professional dealings.

While providing financial advice, negotiating the best price, and managing properties effectively are important aspects of a real estate license holder's responsibilities, these tasks still hinge on the foundation of honesty. A truthful approach ensures that clients are properly informed and can make decisions based on accurate information, which substantially enhances the overall professional relationship.

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