PrepL Professional Ethics and Conduct 3

Question 1

Under professional ethics standards, dual agency occurs when:

Accepted Answer

A single professional represents both the buyer and seller in the same transaction

Answer

Dual agency arises when one licensee represents opposing parties, creating a potential conflict of interest that must be disclosed.

Question 2

A professional receives confidential client information during an engagement. After the engagement ends, that information:

Accepted Answer

Remains confidential unless disclosure is required by law

Answer

Confidentiality obligations survive the end of a professional engagement unless law mandates disclosure.

Question 3

Which of the following is an example of misrepresentation in a licensed profession?

Accepted Answer

Deliberately omitting a known material defect from a disclosure form

Answer

Deliberately omitting known material defects from disclosures constitutes intentional misrepresentation.

Question 4

A licensed professional is approached to provide expert testimony in a lawsuit involving a former client. They should:

Accepted Answer

Disclose any conflict of interest and consult their attorney before agreeing

Answer

Professionals must evaluate conflicts of interest and potential confidentiality issues before agreeing to serve as expert witnesses.

Question 5

The ethical concept of 'informed consent' requires that a client:

Accepted Answer

Receive complete information about risks, costs, and alternatives before agreeing to a service

Answer

Informed consent means clients must understand all material information before agreeing to a professional's services or recommendations.

(PrepL) Preparation for Licensing Practice Test