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Laws Of Agency Fiduciary DutiesAgency_types_and_creationMEDIUM

In California, Broker Smith has the listing on a property. Salesperson Jones, who works for Broker Smith, brings a buyer. Under California law, what agency situation has been created?

Correct Answer

C) Dual agency — because both agents work for the same broker, the broker is a dual agent

Under California law, when both the listing agent and the selling agent work under the same broker, a dual agency situation is created at the broker level. The broker represents both the seller (through the listing) and the buyer (through the salesperson). Under Civil Code §2079.13(d), this dual agency must be disclosed and both parties must provide written consent.

Answer Options
A
Separate representation — Jones represents the buyer and Smith represents the seller
B
No agency conflict because the salesperson and broker are different people
C
Dual agency — because both agents work for the same broker, the broker is a dual agent
D
Transaction brokerage — neither agent represents any party

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Related Topics & Key Terms

Key Terms:

dual_agencysame_brokerin_house_transactiondisclosure
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