Two associate licensees from the same California brokerage represent the seller and buyer respectively in the same transaction. One associate tells the buyer that dual agency does not apply because the two agents operate independently. Under California law, is this statement accurate?
Correct Answer
A) No; with two associates of one firm on opposite sides the brokerage is the dual agent, and Civil Code 2079.17 wants written consent
Licences run through the broker, so when two associate licensees at the same firm take opposite sides, the brokerage is a dual agent and Civil Code 2079.17 requires written consent from everyone. Other choices: separate files do not make separate brokerages; California does not have designated agency in the sense that would avoid this; and assigning different supervisors does not divide a single licence.
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Related Topics & Key Terms
Key Terms:
Related Concepts
In real estate, a client is someone to whom the agent owes fiduciary duties through an agency relationship, while a customer is a third party to whom the agent owes only honesty and fair dealing.
An arrangement where a brokerage assigns separate agents within the firm to represent the buyer and seller in the same transaction, allowing each client to have dedicated representation.
A situation where a single agent or brokerage represents both the buyer and the seller in the same real estate transaction.
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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