Maria is a Wisconsin-licensed salesperson working for Lakeview Realty. She has been working as a buyer's agent for Tom, helping him find a home. Tom makes an offer on a listing that is also held by Lakeview Realty. Maria's broker assigns a different salesperson, Kevin, to represent the seller exclusively. What type of agency relationship has been created under Wisconsin law?
Correct Answer
C) Designated agency, because separate salespersons within the firm each represent one party exclusively
Under Wisconsin Administrative Code REEB 24, when a broker assigns different salespersons within the same firm to represent each party exclusively — as the broker did here by assigning Kevin to the seller and Maria to the buyer — this constitutes designated agency. Each salesperson owes undivided loyalty to their respective client, even though both work under the same brokerage.
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Related Topics & Key Terms
Key Terms:
Related Concepts
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.
A non-agency relationship where the broker facilitates a real estate transaction without representing either party, owing limited duties of honesty, fairness, and competence to both.
The legal principle that holds a broker responsible for the actions of their agents and employees performed within the scope of the agency relationship.
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