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AgencyAgency_relationships_and_written_brokerage_agreementsMEDIUM

Under Illinois law, what is the default agency relationship when a sponsoring broker begins working with a consumer and no written brokerage agreement specifies a different arrangement?

Correct Answer

D) The consumer is treated through designated agency unless a written brokerage agreement establishes a different relationship.

Under the Illinois Real Estate License Act (RELA), 225 ILCS 454/15-75, designated agency is the statutory default. Unless the parties execute a written brokerage agreement that expressly establishes a different relationship—such as dual agency or a customer relationship—the sponsoring broker's sponsored licensee is presumed to act as a designated agent for the consumer.

Answer Options
A
The consumer is automatically treated as a dual-agency client, with both buyer and seller representation duties applying simultaneously.
B
The consumer is treated solely as an unrepresented customer, with no representation duties owed by the licensee.
C
The relationship is governed by federal fair housing regulations rather than Illinois agency law until a written agreement is signed.
D
The consumer is treated through designated agency unless a written brokerage agreement establishes a different relationship.

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agencyagency_relationships_and_written_brokerage_agreementsagency_types_ildefaultdefinitiondesignated_agencydifficulty_3illinois_state
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