Alabama licensee Rachel represents seller Howard under a listing agreement. Buyer Kim, who is unrepresented, contacts Rachel directly and expresses interest in Howard's property. Rachel explains she represents Howard and offers to assist Kim as a transaction broker. Kim agrees verbally. Rachel then helps Kim prepare an offer and negotiates on Howard's behalf. Which statement best describes Rachel's agency obligations in this situation?
Correct Answer
C) Rachel owes full fiduciary duties to Howard as his single agent while providing non-agency assistance to Kim as a transaction broker
Under Alabama Code §34-27-81 et seq., a licensee can simultaneously act as a single agent for one party (Howard, the seller) while providing transaction brokerage assistance to the unrepresented other party (Kim). Rachel continues to owe Howard full fiduciary duties under the listing agreement, while her assistance to Kim is non-agency in nature — she facilitates without advocating for Kim's interests. This is a permissible arrangement provided proper disclosure is made.
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Previous Question
Alabama broker Sandra has been representing buyer Paul under a written buyer agency agreement for three weeks. Paul has now identified a home listed by Sandra's own firm. Sandra realizes this will create a dual agency situation. At what point must Sandra obtain written consent from both Paul and the seller to proceed as a limited consensual dual agent?
Next Question
Alabama broker firm XYZ Realty has a policy of operating exclusively as transaction brokers for all clients. Seller Mark approaches XYZ Realty and specifically requests full single-agent representation, insisting he wants someone to advocate solely for his interests. Under Alabama law, which statement is most accurate regarding XYZ Realty's options?