Which statement is true about the fiduciary duty of confidentiality?

The fiduciary duty of confidentiality remains in effect with few exceptions even after the termination of the agency relationship, which is why this statement is true. This duty obliges a real estate licensee to protect their clients' sensitive information and trade secrets, ensuring that such information is not disclosed to others, including future potential buyers or sellers without the express consent of the original client.

This ongoing obligation is critical in maintaining trust and integrity within the agent-client relationship. For example, a licensee who learns confidential information about a client's financial situation or motivation for selling must not disclose that information even after their professional relationship has ended. Exceptions may include instances where disclosure is required by law or if the client has provided consent to share specific information.

In contrast, other options suggest limits on this duty that do not align with the principles of fiduciary relationships, which emphasize the lasting nature of confidentiality in order to protect clients' interests.