You have been employed by Entry Real Estate and have been allocated a business development area (BDA) in Victoria.  Whilst you have been away on annual leave the Principal of the agency has exchanged contracts to personally purchase one of your listings.  You do not believe that your vendor is aware of the fact that it is your employer as it has been purchased in a company name and there is no declaration on the file or on the copy of the contract in the file. The cooling off period will expire at 5pm today.

Identify and explain the ethical issue in this scenario, quoting any relevant legislation:

How would you approach this with your Agency Principal to express your concern? Ensure you detail at least 2 communication strategies you would use

What steps would you take to ensure this sale can proceed ethically, and how would you appropriately communicate this to the vendor?

List two (2) penalties that could apply to the agency if you were to ignore what has happened and let the sale proceed.