A California listing agent delivers the required agency disclosure form to the seller before taking the listing, but does not obtain the seller's signature acknowledging receipt. The listing agreement is signed and the property is marketed. What is the most accurate legal consequence under California law?

Correct Answer

B) The agent has committed a technical violation, but the listing and any resulting transaction remain valid; the agent should obtain the signature as soon as practicable

California Civil Code §2079.17 requires the listing agent to provide the agency disclosure form and obtain a signed acknowledgment of receipt from the seller before or at the time of entering the listing agreement. Failure to obtain the signature is a statutory violation and creates a compliance deficiency the DRE can act upon. However, California courts and the DRE have consistently held that this procedural failure does not automatically void the listing agreement or invalidate the transaction. The agent must cure the deficiency by obtaining the signature at the earliest opportunity.