Agent Marcus works at a large brokerage in Columbia, SC, where his broker-in-charge has designated him to represent the buyer and a colleague, Agent Tanya, to represent the seller in the same in-house transaction. Before Marcus begins discussing the buyer's needs and budget at their first meeting, what disclosure obligation does Marcus have under South Carolina law?
Correct Answer
B) Marcus must present the SC agency disclosure form and disclose that this is a designated agency arrangement within the same brokerage
In a South Carolina designated agency arrangement, the licensee must still present the required SC agency disclosure form at first substantive contact. Additionally, the designated agency arrangement itself — including the fact that another licensee in the same firm represents the other party — must be disclosed. SC law permits designated agency as an alternative to full dual agency, but it does not eliminate disclosure requirements. The buyer must understand that while Marcus represents only the buyer, Tanya represents the seller within the same brokerage.
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Related Topics & Key Terms
Key Terms:
Related Concepts
An agency relationship created by the conduct or actions of the parties rather than by a written or oral agreement.
The legal obligation to reveal information that could affect a party's decision to enter into or the terms of a real estate transaction.
The extent of power and actions an agent is authorized to perform on behalf of the principal, as defined by the agency agreement.
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