You have been recently been appointed as an agent. Your principal is a real estate developer and has given you instructions to find, negotiate and conclude the purchase of a piece of land on which he proposes to build a new condominium (apartment) complex.The budget that you have been given is $1 million. The principal does not yet want his involvement in the project to become publicly known. As such, the arrangement is that you will purchase the property in your own name and then transfer it to the principal. You are aware from the discussions in which you have been involved that your principal proposes to make a high-end development and as such the complex would have two swimming pools, a fitness centre and other luxury features. You are required to review the following scenario and explain whether you would be breaching the duties of an agent. refer to and apply the legal principles .

Five years ago, you were given the right of first refusal to purchase a property for $500,000. You have exercised this option and secured the property.You later transferred the property to your principal as agreed. You told your principal that the property cost $1 million dollars.