CMFAS RES5 Conflicts, Fair Dealing & Ethical Marketing question: Holley's continuum of disclosure strategies

CMFAS RES5Conflicts, Fair Dealing & Ethical Marketing

On Holley's continuum of disclosure strategies, the Maximal Information Rule is best described as:

A Requiring the seller to disclose only safety information ('caveat emptor plus') about a product
B Being the same as the 'caveat emptor' position, with no duty to volunteer any information
C Requiring disclosure only of what the buyer could not reasonably be expected to discover
D The most demanding end of the continuum, opposite 'caveat emptor', which the text finds overly demanding

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Answer: D. The most demanding end of the continuum, opposite 'caveat emptor', which the text finds overly demanding

The continuum runs from the Minimal Information Rule ('caveat emptor') up to the Maximal Information Rule at the opposite, most demanding end. The text considers the Maximal Rule overly demanding and instead favours a 'Mutual Benefit Rule Plus' strategy.

Common mistake

'Caveat emptor plus' is the Modified Minimal rule; the Maximal Information Rule is the far, most demanding end of the continuum.

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