Under Illinois law, a designated agency arrangement allows:
Question & Answer
Review the question and all answer choices
One broker to represent both parties
A is incorrect because one broker cannot represent both parties simultaneously due to inherent conflicts of interest. This would constitute dual agency without proper safeguards, which is prohibited in most transactions.
Different licensees within the same brokerage to represent opposing parties
A licensee to act as a transaction broker
C is incorrect because a transaction broker is a separate agency relationship with different duties and limitations. Designated agency specifically involves separate agency relationships, not transaction brokerage.
Dual agency without disclosure
D is incorrect because dual agency in Illinois requires proper disclosure and informed consent from both parties. Designated agency is a specific alternative to traditional dual agency.
Why is this correct?
B is correct because Illinois law permits designated agency, which allows different licensees within the same brokerage to represent opposing parties while maintaining separate agency relationships and avoiding dual agency conflicts.
Continue Learning
Explore this topic in different formats
More Agency Law Videos
Continue learning with related video lessons
Ohio's continuing education requirement for license renewal is:
2:14 • 0 views
Ohio real estate licensees are regulated by the:
2:51 • 0 views
A seller's agent in Texas owes which duty to buyers?
2:47 • 0 views
South Dakota requires how many hours of pre-license education?
3:19 • 0 views
Which Illinois agency fiduciary duty survives beyond the end of an agency relationship?
2:17 • 0 views
Ready to Ace Your Real Estate Exam?
Access 2,000+ free video lessons covering all 11 exam topics.