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In Illinois, a broker acting as a dual agent must:

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Question & Answer

Review the question and all answer choices

A

Only represent the seller

Representing only the seller would make the broker a seller's agent, not a dual agent β€” this option contradicts the very definition of dual agency, which requires simultaneous representation of both parties.

B

Obtain written consent from both parties

Correct Answer
C

Refuse to complete the transaction

Illinois law does not require a broker to refuse the transaction simply because dual agency exists; instead, the law provides a legal pathway for dual agency through written consent, making refusal unnecessary and commercially impractical.

D

Only disclose to the buyer

Disclosing only to the buyer is insufficient and violates Illinois law; both the buyer and the seller must receive disclosure and provide written consent, since both parties are equally affected by the broker's divided loyalty.

Why is this correct?

Under 225 ILCS 454/15-45, Illinois explicitly mandates that a licensee acting as a dual agent must obtain prior written informed consent from both the buyer and the seller before proceeding with the transaction. This written consent requirement protects both parties by ensuring they knowingly waive the right to undivided representation and understand the limitations the dual agency places on the broker's ability to advocate fully for either side.

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