Broker Maria operates a real estate firm in Wilmington, Delaware. She assigns Agent Carlos to exclusively represent seller Patricia, and assigns Agent Donna to exclusively represent buyer Robert — both in the same transaction involving Patricia's home. Neither Carlos nor Donna shares confidential client information with the other. What type of agency relationship does Delaware law recognize in this arrangement?
Correct Answer
B) Designated agency, because the broker has appointed separate agents to represent each party
Under Delaware agency law, when a broker designates separate licensees within the same brokerage to exclusively represent the buyer and seller respectively in the same transaction, this is designated agency. Each designated agent owes full fiduciary duties only to their respective client, and confidential information is not shared between them. This arrangement avoids the conflicts inherent in dual agency.
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Related Topics & Key Terms
Key Terms:
Related Concepts
The highest legal obligation of trust and confidence owed by an agent to their principal, requiring the agent to act solely in the principal's best interest.
An agency relationship where the agent agrees to act on behalf of the principal without receiving compensation.
An agency relationship created by the conduct or actions of the parties rather than by a written or oral agreement.
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