Broker Martinez represents both the buyer and the seller in a residential transaction in Texas. Under Texas Occupations Code Chapter 1101, what type of agency relationship does this arrangement create?
Correct Answer
C) Intermediary relationship with written consent from both parties
Under Texas Occupations Code §1101.559, when a broker represents both the buyer and seller in the same transaction, the arrangement is called an intermediary relationship. Texas does not use the term 'dual agency'—the statutory term is 'intermediary.' Written consent from both parties is required.
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Related Topics & Key Terms
Key Terms:
Related Concepts
The fiduciary obligations owed by a listing agent to the seller, including marketing the property, presenting all offers, and protecting the seller's confidential information.
A practice where the agent or brokerage represents only one party in a transaction — either the buyer or the seller, but never both.
A relationship where a listing broker authorizes other brokers to act as agents of the seller, extending the seller's agency relationship to cooperating brokers.
More Texas Agency Law Questions
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In Texas, a sales agent who is assigned by the intermediary broker to communicate with and carry out instructions of one party in a transaction is known as a(n):
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