Definition: When a real estate agent or broker is acting in an agency capacity for a buyer or seller client in a transaction, they have certain legally mandated duties that are called fiduciary duties. The position of the agent or broker is a fiduciary capacity, acting in the best interests of the client.
The required fiduciary duties vary by state real estate statute, but one example common to all is "Confidentiality" of the client's information. In a fiduciary capacity, it is the duty of the real estate agent or broker to protect the clients' privacy and keep all information confidential, unless required to divulge it by a court of law.
