A California seller is uncomfortable with dual agency as described on the Agency Disclosure form under Civil Code §2079.17. The seller asks the listing agent to guarantee in writing that dual agency will never occur. Under California law, can the agent make this guarantee?
Correct Answer
B) The agent can agree to avoid dual agency, but cannot guarantee it will never arise
An agent can promise to try to keep the representation one-sided, but cannot guarantee that dual agency will never arise, because agency attaches to the broker. Civil Code § 2079.13(d) defines a dual agent as an agent acting for both the seller and the buyer in the same transaction, directly or through a salesperson or broker associate, so if any salesperson at the same brokerage brings the buyer, the broker is a dual agent whatever the listing agent intended. What the agent can do is raise the possibility at the outset, agree with the seller how it would be handled, and confirm the relationship actually in effect in writing under Civil Code § 2079.17. A seller unwilling to accept the risk can list with a firm that does not represent buyers.
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Related Topics & Key Terms
Key Terms:
Related Concepts
The fiduciary obligations owed by a listing agent to the seller, including marketing the property, presenting all offers, and protecting the seller's confidential information.
A practice where the agent or brokerage represents only one party in a transaction — either the buyer or the seller, but never both.
A relationship where a listing broker authorizes other brokers to act as agents of the seller, extending the seller's agency relationship to cooperating brokers.
More Laws Of Agency Fiduciary Duties Questions
Under California law, the agency disclosure requirements apply to which types of property?
Under California law, when must a buyer's agent give the agency disclosure form to the buyer?
A broker who fails to promptly disclose their dual agency status is subject to:
A broker’s fiduciary obligation to protect a seller’s confidential information continues:
A broker has an exclusive agency listing on a property. If the owner sells the property, the broker is entitled to:
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