During a listing presentation in Alabama, seller Rosa asks agent Ben to explain the difference between single agency and limited consensual dual agency. Ben correctly explains that in limited consensual dual agency, his fiduciary duties to Rosa would be limited compared to single agency. Which duty is MOST likely to be curtailed when Ben acts as a limited consensual dual agent?
Correct Answer
C) The duty of undivided loyalty to advocate solely for Rosa's best price
Under Alabama Code §34-27-81 et seq., the duty of undivided loyalty — which in single agency means advocating solely for the client's best interests, including negotiating the highest possible price for a seller — is the duty most significantly curtailed in limited consensual dual agency. Because the agent also owes duties to the buyer, the agent cannot advocate exclusively for either party's price position.
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Previous Question
Alabama licensee Janet represents buyer Mike under a written buyer agency agreement. Janet finds a property listed by another broker in her office, broker Dan, who represents the seller. The firm's broker-owner, Helen, wants to avoid a limited consensual dual agency situation. Which arrangement would best allow both Mike and the seller to receive full representation under Alabama law?
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