(a)  Unless otherwise authorized in subsection (b), a licensee may not disclose the confidential information of: (i) A client, in the case of a designated client representative; or (ii) A customer, in the case of a dual facilitator or transaction coordinator; or (iii) Any represented party, in the case of an affiliated licensee who is not appointed a designated client representative, without the client or customer’s consent.

Terms Used In Rhode Island General Laws 5-20.6-7

  • Affiliated licensee: means a licensed real estate salesperson or real estate broker as defined in §?5-20. See Rhode Island General Laws 5-20.6-2
  • Client: means a buyer, seller, tenant, or landlord who has agreed to representation by a licensee in a real estate transaction, evidenced by an executed, mandatory relationship disclosure, to whom a licensee owes the duties set forth in §?5-20. See Rhode Island General Laws 5-20.6-2
  • Confidential information: means the following information:

    (i)  A buyer's or tenant's willingness to pay more than the offered price;

    (ii)  A seller's or landlord's willingness to accept less than the asking price;

    (iii)  A buyer's or tenant's previous offers made to purchase or lease real estate;

    (iv)  A seller's or landlord's previous offers received to purchase or lease real estate;

    (v)  Any parties' motivating factors;

    (vi)  Any parties' willingness to agree to other financing terms;

    (vii)  Any facts or suspicions regarding circumstances, other than known, material defects of a property that a licensee must in all cases disclose, that may psychologically impact or stigmatize any real estate; or

    (viii)  Any information about a party's assets, liabilities, income, or expenses. See Rhode Island General Laws 5-20.6-2

  • Customer: means a buyer, seller, tenant, or landlord who has agreed to certain assistance by a licensee in a real estate transaction, evidenced by an executed, mandatory relationship disclosure, to whom a licensee owes the duties set forth in §?5-20. See Rhode Island General Laws 5-20.6-2
  • Designated client representative: means an affiliated licensee appointed by the principal broker or his or her designee to represent a buyer, seller, tenant, or landlord in a real estate transaction. See Rhode Island General Laws 5-20.6-2
  • Dual facilitator: means a single licensee who, with the prior written consent of both parties, assists a seller client and a buyer client in the same transaction subject to the limitations set forth in §?5-20. See Rhode Island General Laws 5-20.6-2
  • Licensee: means an individual licensed by the director as a real estate broker or real estate salesperson pursuant to chapter 20. See Rhode Island General Laws 5-20.6-2
  • Principal broker: means a real estate broker licensed by the director who is designated by the brokerage to be responsible for the supervision and activities of his or her affiliated licensees in accordance with this chapter and chapter 20. See Rhode Island General Laws 5-20.6-2
  • Transaction coordinator: means a principal broker or his or her designee who supervises a real estate transaction in a capacity in which one affiliated licensee represents a buyer or tenant as a designated client representative and another affiliated licensee represents a seller or landlord as a designated client representative in the same transaction. See Rhode Island General Laws 5-20.6-2
  • Transaction facilitator: means a licensee who provides assistance to a buyer, seller, tenant, or landlord, or both, in a real estate transaction. See Rhode Island General Laws 5-20.6-2

(b)  A licensee may disclose confidential information that is a matter of general knowledge or a part of a public record or file to which access is authorized, or when necessary to defend the licensee against a claim brought by the client, or is otherwise subject to disclosure by law.

(c)  A principal broker shall implement reasonable procedures to protect the confidential information of all clients of designated client representatives and, as required by this chapter, to protect the confidential information of customers of transaction facilitators. A designated client representative shall have no duty to protect confidential information of a party not a client unless the confidential information of the party was previously acquired by the designated client representative as a result of a prior client or transaction facilitator relationship with the party.

History of Section.
P.L. 1989, ch. 141, § 2; P.L. 1990, ch. 425, § 2; P.L. 2007, ch. 344, § 1; P.L. 2007, ch. 403, § 1.