Under Alabama law, when must a licensee first disclose their agency status to a prospective buyer who contacts them about a listed property?
Correct Answer
B) At the first substantive contact with the prospective buyer
Alabama Code §34-27-81 et seq. requires licensees to disclose their agency status in writing at the time of first substantive contact with a prospective buyer or seller. This ensures that parties understand the nature of the licensee's representation before any meaningful exchange of information or negotiation occurs.
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Previous Question
Alabama licensee Derek is acting as a limited consensual dual agent in a transaction involving seller Gwen and buyer Leo. During negotiations, Leo privately tells Derek that he is willing to pay up to $280,000 for the property, although his initial offer is $255,000. Gwen has told Derek she will accept anything above $265,000. Under Alabama law, what must Derek do with this information?
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In Alabama, which of the following best describes a 'subagent' in a real estate transaction?