David, an Oregon broker, is working with a seller client. A buyer calls David directly and expresses interest in the listed property. David would like to represent both the seller and the buyer in this transaction. Under Oregon law, when must David obtain written consent from all parties for a disclosed limited agency arrangement?
Correct Answer
A) Before David begins representing both parties in the transaction
ORS 696.855 requires that written informed consent from all parties must be obtained before a licensee establishes a disclosed limited agency relationship. The consent cannot be obtained retroactively after the dual representation has already begun. This protects all parties by ensuring they knowingly agree to the arrangement and its limitations before confidential information is exchanged.
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Related Topics & Key Terms
Key Terms:
Related Concepts
The highest legal obligation of trust and confidence owed by an agent to their principal, requiring the agent to act solely in the principal's best interest.
An agency relationship where the agent agrees to act on behalf of the principal without receiving compensation.
An agency relationship created by the conduct or actions of the parties rather than by a written or oral agreement.
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