What are the ramifications of the real estate manager’s role as an agent of — and therefore fiduciary responsibility to — the property owner?
In the role of agent, the real estate manager must exercise a high standard of care in managing both money and property for the owner (fiduciary capacity). Being a fiduciary creates certain legal obligations. The manager must be loyal to the interests of the client and not engage in activities contrary to that loyalty. This means scrupulous attention to the handling of the owner’s funds and not accepting any fee, commission, discount, gift, or other benefit that has not been disclosed to and approved by the owner-client.
