What is the correct answer to: Idaho recognizes which brokerage relationships?

The correct answer is Seller agent, buyer agent, dual agent, and non-agent. Answer B is correct because Idaho law explicitly recognizes all four brokerage relationships: seller agent, buyer agent, dual agent, and non-agent (also called a transaction coordinator or facilitator). Idaho Code § 54-2083 defines these categories and requires licensees to disclose their relationship type in writing to all parties. This comprehensive framework ensures consumer protection by making agency relationships transparent and legally enforceable.

What background knowledge is needed for this Agency question?

Prior to the 1990s, nearly all real estate agents legally represented the seller, even when they were showing buyers properties — a concept known as 'sub-agency.' This created widespread confusion and potential conflicts of interest, as buyers often mistakenly believed their agent was working for them. In response, states across the country, including Idaho, enacted agency disclosure laws throughout the 1990s and 2000s to define and distinguish multiple relationship types. Idaho's current framework under Title 54, Chapter 20 of the Idaho Code reflects this national reform movement and has been refined over time to include the non-agent category as a flexible alternative.

What is a good way to remember the answer to this Agency question?

Use the acronym 'SBDN' — Seller, Buyer, Dual, Non-agent — and remember it as 'Some Buyers Deserve Nothing (hidden),' meaning all parties deserve clarity about their representation. Visualize a four-lane highway in Idaho where each lane represents one relationship type, and every driver (client) must know which lane their agent is driving in before the journey begins. Remember Idaho's recognized agency relationships by thinking of the acronym 'S-B-D-N'. Each letter represents one of the four brokerage relationships recognized in Idaho law.

What exam tip applies to this Agency question?

When a question asks which relationships a state 'recognizes,' be alert for answer choices that list all four major types (seller, buyer, dual, non-agent), as most modern states have adopted comprehensive frameworks. Eliminate answer choices that restrict recognition to only one relationship type, as these reflect outdated or oversimplified law.

How does this Agency concept apply in real world practice?

Consider a transaction in Boise, Idaho, where a licensee listed a home for a seller (seller agent) and a separate licensee from the same brokerage brought a buyer client (buyer agent). If both agents work for the same brokerage and the brokerage wants to facilitate the deal without fully representing either side, it may operate as a dual agent — but only with written informed consent from both parties. Alternatively, if neither party wants full representation, the licensee can operate as a non-agent, simply facilitating paperwork without owing fiduciary duties to either side. This flexibility, codified in Idaho law, allows the transaction to proceed in a manner that best serves all parties' preferences.

AgencyAgency_typesMEDIUM

Idaho recognizes which brokerage relationships?

Correct Answer

B) Seller agent, buyer agent, dual agent, and non-agent

Idaho recognizes seller agent, buyer agent, dual agent, and non-agent relationships.

Answer Options

Only seller agency

Seller agent, buyer agent, dual agent, and non-agent

Only buyer agency

Only transaction brokerage

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Related Concepts

Agency Relationship

A legal relationship in which one person (the agent) is authorized to act on behalf of another person (the principal) in business transactions with third parties.

Agency Termination

The legal ending of an agency relationship, which can occur through completion, expiration, mutual agreement, breach, death, incapacity, or bankruptcy of either party.

Confidentiality Duty

The fiduciary obligation to protect a client's private information and not disclose it to third parties without permission, surviving even after the agency relationship ends.

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Idaho recognizes which brokerage relationships?

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