Broker Angela in Kalispell, Montana operates a property management company and also holds an active real estate broker license. One of her property management clients asks her to sell the rental property she manages. Angela agrees and enters into a listing agreement. During the transaction, Angela represents both the seller (her property management client) and a buyer who inquires about the property. Which of the following statements is most accurate regarding Angela's licensing and agency obligations under Montana law?
Correct Answer
C) Angela must use her broker license for the sale transaction, and if she acts as a dual agent, she must obtain informed written consent from both parties.
The sale of real property is a brokerage activity that requires a broker (or salesperson under a broker) license under MCA Title 37, Chapter 51. Angela's property manager license does not authorize her to conduct sales transactions. For the sale, she must act under her broker license. If she chooses to represent both the seller and the buyer in the same transaction (dual agency), Montana law requires that she obtain the informed written consent of both parties before proceeding as a dual agent. This is a complex scenario involving two distinct Montana license categories and dual agency disclosure obligations.
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Related Topics & Key Terms
Key Terms:
Related Concepts
Advertising regulations govern how real estate licensees may market properties and services, requiring truthful, non-deceptive advertising that includes proper identification of the brokerage.
Antitrust violations in real estate occur when competing brokerages or agents engage in practices that restrain trade, reduce competition, or harm consumers through collusion. These violations are governed by the Sherman Antitrust Act and can result in severe penalties.
Broker supervision is the legal obligation of a designated or managing broker to oversee and be accountable for the real estate activities of all salespersons and associate brokers operating under their license.
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