What is an example of the duty of loyalty in a client-agent relationship?

In a client-agent relationship, the duty of loyalty fundamentally emphasizes that the agent must prioritize the client's interests above all else. This principle is crucial because it ensures that the agent acts in a way that is beneficial to the client, placing the client's needs, desires, and goals at the forefront of all decisions and actions taken. For example, if a client is selling a property, the agent must advocate for the best possible sale terms and negotiate in the client's favor, even if it would be easier or more profitable for the agent to take a different course of action.

Devoting loyalty to the client fosters trust and a strong working relationship, allowing the client to have confidence that their agent is committed to serving their best interests. Other concepts—such as informing clients of potential conflicts—although important, are part of the broader responsibility of transparency and ethics rather than directly embodying the duty of loyalty. Overall, the duty of loyalty is all about commitment to the client above any competing interests.