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====== Disclosure of Acting as Principal or Other Interest ======

Licensees must disclose when they have a personal interest in a transaction.

===== Acting as Principal =====
A licensee is acting as a principal when buying, selling, or leasing property for themselves.

  * Must disclose licensed status
  * Must disclose ownership interest
  * Disclosure must be made to all parties
  * Disclosure must be in writing
  * Applies whether or not a commission is received

===== Other Interest in a Transaction =====
A licensee must disclose any interest that could influence their judgment.

  * Ownership interest (direct or indirect)
  * Option to buy or sell
  * Financial interest in the property or transaction
  * Relationship with a party that creates a conflict of interest

===== Timing of Disclosure =====

  * As soon as possible
  * Before entering into a binding agreement
  * Prior to acceptance of an offer

===== Purpose of Disclosure =====

  * Prevent fraud and misrepresentation
  * Allow informed consent
  * Protect the public
  * Maintain fiduciary duty of loyalty

===== Consequences of Failure to Disclose =====

  * Disciplinary action by the DRE
  * Civil liability
  * Possible rescission of contract
  * Loss of commission