Under Illinois law, at what point must the dual-agency disclosure form be presented to a client, and when must the client sign it?
Correct Answer
C) It must be presented when the brokerage agreement is entered into, but the client may sign it any time before the licensee begins acting as a dual agent.
Under 225 ILCS 454/15-45, the dual-agency disclosure form must be presented to the client at the time the brokerage agreement is entered into. However, the statute does not require the client to sign at that moment — the signature is valid as long as it occurs before the licensee actually begins acting as a dual agent. This two-step timing rule is the key distinction Illinois law draws.
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Related Topics & Key Terms
Key Terms:
Related Concepts
A non-agency relationship where the broker facilitates a real estate transaction without representing either party, owing limited duties of honesty, fairness, and competence to both.
The legal principle that holds a broker responsible for the actions of their agents and employees performed within the scope of the agency relationship.
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.
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