Agent Carol works for XYZ Realty in Connecticut. She represents seller Mr. Nguyen under a listing agreement. Her colleague at XYZ Realty, Agent Brian, represents buyer Ms. Torres. Ms. Torres wants to make an offer on Mr. Nguyen's property. The brokerage's written policy permits designated agency. If XYZ Realty designates Carol as Mr. Nguyen's designated agent and Brian as Ms. Torres's designated agent, which statement accurately describes the resulting agency relationship?
Correct Answer
A) XYZ Realty is still a dual agent, but Carol and Brian each act as single agents for their respective clients
Under Connecticut's designated agency framework, when a brokerage designates individual agents to represent each party, the designated agents function as single agents for their respective clients — Carol exclusively for Mr. Nguyen and Brian exclusively for Ms. Torres. However, XYZ Realty as the supervising brokerage remains in a dual agency position because it holds both representation agreements. The designated agency structure manages the conflict by limiting the advocacy role at the individual agent level while acknowledging the brokerage's dual role.
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Related Topics & Key Terms
Key Terms:
Related Concepts
An agency relationship created when a principal's actions or words lead a third party to reasonably believe that an agent has authority, and the principal fails to correct this belief.
An agency relationship created when a principal approves or accepts an agent's previously unauthorized actions, effectively granting authority after the fact.
The legal requirement for real estate agents to inform all parties about who they represent in a transaction, typically provided at first substantive contact.
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