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Laws Of Agency Fiduciary DutiesAgency_disclosure_requirementsMEDIUM

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) A technical violation; the listing remains valid and the signature should be obtained promptly

Civil Code § 2079.14 does not stop at delivery: the agent who provides the agency disclosure form must also obtain a signed acknowledgment of receipt, and § 2079.15 supplies the substitute only where the party refuses to sign, in the form of a signed declaration of the facts of the refusal. An unsigned form is therefore a genuine statutory violation the Department of Real Estate can act on, not merely a thin file. What it is not is a defect in the contract: the validity of the listing, and of any transaction under it, does not turn on the receipt signature, so the cure is to obtain the signature, or the declaration of refusal, as soon as practicable.

Answer Options
A
The listing agreement is void because the agency disclosure was not properly acknowledged
B
A technical violation; the listing remains valid and the signature should be obtained promptly
C
The disclosure is fully compliant because the agent's obligation ends at delivery, not acknowledgment
D
The transaction is voidable at the seller's election until the signed acknowledgment is obtained

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Related Topics & Key Terms

Key Terms:

agency_disclosuremissing_signaturedocumentationDRE_compliance

Related Concepts

An agency relationship created by the conduct or actions of the parties rather than by a written or oral agreement.

The legal obligation to reveal information that could affect a party's decision to enter into or the terms of a real estate transaction.

The extent of power and actions an agent is authorized to perform on behalf of the principal, as defined by the agency agreement.

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