Ethical quandry

Horace Greeley hgreeley@leland.Stanford.EDU
Mon, 17 Mar 1997 11:08:27 -0700


Folks,

Barb raises a point which, while it doesn't (necessarily) affect what we
do day in and day out, that is only because piano work is such an
infinitessimal part of the GDP.  (In other words, we just ain't that
important.)

So, except when there is a problem, we don't have to think about it.  Sort of.
We do, however, have what is called "constructive knowledge" of our legal
system and applicable laws.

I am with others in not taking commissions, but then, I most often avoid
looking at pianos for folks who are not clients.

Thank you , Barb!

Horace



>In the real estate business, brokers always used to get paid by the
>sellers.  Someone eventually realized that buyers were under the
>impression the broker was working for them (taking them to see
>houses, helping them get financing, etc.) even tho they were still
>getting paid by the seller.
>
>In the last decade or so, there has been a push to clarify these
>"fiduciary relationships" (relationships of legal agency) by: 1)
>making it clear to all parties who is representing whom and 2)
>offering buyer broker services, where the buyer signs a contract
>directly with a broker who represents the buyer in all transactions.
>The buyer brokers I know will not handle "both sides" of a
>transaction.  This is called "dual agency."  It is not possible to
>get the best price for the seller AND the best deal for the buyer.
>If one of these brokers has listed a property and a buyer comes in to
>find out about it, they will refer the buyer to another agent.
>
>Intention does carry some weight legally, I suppose.  But in this
>kind of transaction, intention is overruled by lines of agency.
>
>I realize that the situations are not exactly the same, but they are
>close.
>
>Tom stated that he was being honest with the customer about the
>condition of the piano.  It seems to me there would be no moral or
>ethical dilemma if he were also honest with her about the fact that he will
>receive money from the dealer. If that gives him a queasy feeling in
>the pit of the stomach, then I think his question will answer itself.
>
>I should add that I have not been in this position, so you should
>give more weight to the responses of those who have.
>
>Barb Barasa
>Ashland OR
>others who have should
>"When nothing is sure,
>     everything is possible."




Horace Greeley			hgreeley@leland.stanford.edu

	"Always forgive your enemies,
		nothing annoys them so much.

			-	Oscar Wilde

LiNCS				voice: 725-4627
Stanford University		fax: 725-9942






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