Agent Brian is working with both the seller, Frank, and the buyer, Linda, in the same transaction at ABC Realty. No other agent at the brokerage is involved. Frank and Linda have both been informed of the dual agency situation verbally during a meeting. The contract is scheduled to be signed next week. Under Maryland law, what must occur before the contract is signed for the dual agency to be legally valid?
Correct Answer
D) Brian must obtain written consent from Frank and Linda before the dual agency situation arises, not at or after the time of contract
Under Maryland law (Md. Code Ann., Bus. Occ. & Prof. §§ 17-530 et seq.), dual agency consent must be obtained IN WRITING from both the buyer and the seller BEFORE the dual agency situation arises — not at the time of contract signing or after. The verbal disclosure during the meeting does not satisfy Maryland's written consent requirement. Brian must have both Frank and Linda sign the MREC Consent for Dual Agency form before he begins representing both parties in the same transaction.
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