Brokerage & Agency

Confidential Information

A party's negotiating position, which an intermediary may not disclose to the other side without written authorization.

Under TRELA Sec. 1101.651(d), a broker and any license holder appointed under Sec. 1101.560 acting as intermediary may not disclose that the seller or landlord will accept a price less than the asking price, may not disclose that the buyer or tenant will pay more than the price in a written offer, and may not disclose confidential information or information a party instructed them in writing not to disclose.

The prohibition has narrow carve-outs, including where disclosure is required by the chapter or a court order, and where the information materially relates to the condition of the property.

On the exam

Confidentiality protects the person's negotiating position. It never protects the property's condition.

Exam trap

Treating a known material defect as confidential. Sec. 1101.651(d)(3)(C) expressly carves out information materially relating to property condition.

Tested in

Texas Agency & Intermediary (9% of the exam)

From definition to recall

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This definition is Texas real estate exam-prep education, not legal, tax, or professional advice. Verify current rules against the official source before relying on them for a real transaction. Back to the full glossary.