HB 1615 Summary

• Establishes that Arkansas common law of agency applies to licensee-client relationships and requires licensees to pledge absolute fidelity to protect and promote client interests.

• Requires licensees to perform fiduciary duties including using reasonable efforts, exercising reasonable skill and care, following lawful instructions, disclosing material facts, maintaining confidentiality, and accounting for client funds and property.

• Specifies duties for licensees representing sellers or lessors, including obtaining offers at acceptable prices and presenting all offers timely regardless of existing contracts.

• Specifies duties for licensees representing buyers or lessees, including locating suitable properties and presenting offers timely to sellers or their agents.

• Allows clients to waive agency duties only through a signed waiver statement listing fiduciary duties and specific duties being waived, printed in at least 10-point boldface type; prohibits licensees from handling client money even if duties are waived.