Golden Gate University Law Review


Part I of this note focuses on the history of the broker's duty of disclosure and duties owed to third persons. That part provides a historical framework of the evolving law in broker disclosure and the broker's duty to third persons, concentrating mainly on California law. Part II discusses the broker disclosure statute and the downfall of its narrow interpretation. Part III discusses the common-law balancing test, and the benefits of its application to the Coldwell Banker case and other cases like it. Finally, Part IV concludes that the court in Coldwell Banker erred by taking a narrow interpretation of the statute to establish the broker's duty to third persons, and that it should instead have used the common-law balancing test to establish duty.