Disclosure of Real Estate Agency

WISCONSIN LAW (WI. ADM. CODE §RL 24.07(8)) REQUIRES REAL ESTATE BROKERS TO DELIVER A COPY OF A WRITTEN AGENCY DISCLOSURE FORM TO YOU PRIOR TO SHOWING YOU PROPERTIES OR PROVIDING OTHER BROKERAGE SERVICES. BROKER IS ALSO REQUIRED BY LAW TO REQUEST YOU TO ACKNOWLEDGE RECEIPT OF A COPY OF THIS FORM.

This is a disclosure of the duties a real estate broker owes to all parties in a real estate transaction under Wisconsin Law, and the duties owed to the broker's clients in the transaction. This form will also provide each party with an area to identify information the party would wish to keep confidential in the transaction.

DUTIES TO ALL PARTIES

Wisconsin Statute section 452.133(1) states that in providing brokerage services to a party to a transaction (including both clients and customers), a broker shall do all of the following:

  1. Provide brokerage services to all parties to the transaction honestly, fairly and in good faith.
  2. Diligently exercise reasonable skill and care in providing brokerage services to all parties.
  3. Disclose to each party all material adverse facts that the broker knows and that the party does not know or cannot discover through reasonably vigilant observation, unless the disclosure of a material adverse fact is prohibited by law.
  4. Keep confidential any information given to the broker in confidence, or any information obtained by the broker that he or she knows a reasonable party would want to be kept confidential, unless the information must be disclosed under (c) or Wis. Stats. sec. 452.23 (information contradicting third party inspection or investigative reports) or is otherwise required by law to be disclosed to the party whose interests may be adversely affected by the disclosure specifically authorizes the disclosure of a particular confidential information. A broker shall continue to keep the information confidential after the transaction is complete and after the broker is no longer providing brokerage services to the party.
  5. Provide accurate information about market conditions that affect a transaction, to any party who requests the information, within a reasonable time of the party's request, unless disclosure of the information is prohibited by law.
  6. Account for all property coming into the possession of the broker that belongs to any party within a reasonable time of receiving the property.
  7. When negotiating on behalf of a party, present contract proposals in an objective and unbiased manner and disclose the advantages and disadvantages of the proposals.

DUTIES TO A CLIENT

Wisconsin Statute section 452.133(2) states that in addition to his or her duties under 'DUTIES TO ALL PARTIES' above, a broker providing brokerage services to his or her client shall do all of the following:

  1. Loyally represent the client's interests by placing the client's interests ahead of any other party, unless loyalty to a client violates the broker's duties under 'DUTIES TO ALL PARTIES' or Wis. Stats. sec 452.137(2) (duties to all clients in multiple representation situations).
  2. Disclose to the client all information known by the broker that is material to the transaction and that is not known by the client or discoverable by the client through reasonably vigilant observation, except for confidential information (see 'DUTIES TO ALL PARTIES' d.) and other information, the disclosure of which is prohibited by law.
  3. Fulfill any obligation required by the agency agreement, and any order of the client that is within the scope of the agency agreement, that are not inconsistent with another duty that the broker has under this chapter or any other law.

CONFIDENTIALITY NOTICE TO CLIENTS AND CUSTOMERS

A BROKER IS REQUIRED TO MAINTAIN THE CONFIDENTIALITY OF ALL INFORMATION GIVEN TO THE BROKER IN CONFIDENCE AND OF ALL INFORMATION OBTAINED BY THE BROKER THAT HE OR SHE KNOWS A REASONABLE PARTY WOULD WANT TO BE KEPT CONFIDENTIAL, UNLESS THE INFORMATION IS REQUIRED TO BE DISCLOSED BY LAW.

  1. MATERIAL ADVERSE FACTS AS DEFINED IN SECTION 452.01(5g) OF THE WISCONSIN STATUTES.
  2. ANY FACTS KNOWN BY THE BROKER THAT CONTRADICT ANY INFORMATION INCLUDED IN A WRITTEN INSPECTION REPORT ON THE PROPERTY OR REAL ESTATE THAT IS THE SUBJECT OF THE TRANSACTION.

TO ENSURE THAT THE BROKER IS AWARE OF WHAT SPECIFIC INFORMATION YOU CONSIDER CONFIDENTIAL, YOU MAY LIST INFORMATION THAT YOU WISH TO BE KEPT CONFIDENTIAL. AT A LATER TIME, YOU MAY ALSO PROVIDE THE BROKER WITH OTHER WRITTEN NOTIFICATION OF WHAT INFORMATION YOU CONSIDER TO BE CONFIDENTIAL.

Notice: You may obtain information about the sex offender registry and persons registered with the registry by contacting the Wisconsin Department of Corrections on the Internet at http://www.widocoffenders.org or by phone at 877-234-0085.

Wisconsin Statutes
452.01 (1e) "Adverse fact" means any of the following:
  1. A condition or occurrence that is generally recognized by a competent licensee as doing any of the following:
    1. Significantly and adversely affecting the value of the property.
    2. Significantly reducing the structural integrity of improvements to real estate.
    3. Presenting a significant health risk to occupants of the property.
  2. Information that indicates that a party to a transaction is not able to or does not intend to meet his or her obligations under a contract or agreement made concerning the transaction.

452.01 (5g) "Material adverse fact" means an adverse fact that a party indicates is of such significance, or that is generally recognized by a competent licensee as being of such significance to a reasonable party, that it affects or would affect the party's decision to enter into a contract or agreement concerning a transaction or affects or would affect the party's decision about the terms of such a contract or agreement.