Final answer:
The Tennessee Real Estate Broker License Act of 1973 mandates that licensees must disclose potential conflicts of interest prior to conducting real estate transactions with clients to ensure transparency and maintain trust.
Step-by-step explanation:
The Tennessee Real Estate Broker License Act of 1973 requires licensees to disclose potential conflicts of interest prior to entering into real estate transactions with potential clients. It is crucial for maintaining transparency and trust in real estate dealings. Licensees must make known any circumstances that might influence their professional judgment or objectivity, ensuring that clients can make informed decisions. This mandate is designed to protect the interests of the client and to maintain the integrity of the real estate profession.