A broker who represents two parties at the same time, acts according to common law obligations and duties, and cannot act against the interest of either party.

A broker who represents two parties at the same time, acts according to common law obligations and duties, and cannot act against the interest of either party.

• A. Intermediary Broker
• B. Transaction Broker
• C. Dual Agent
• D. Agent of both sides

Answer: (C)

Dual agency is when one broker represents both the buyer and the seller in the same transaction and must uphold fiduciary duties to both clients. This means loyalty to each party, full disclosures, confidentiality, and careful handling of any conflicts of interest. Because the broker owes duties to both sides, they cannot favor one party over the other and must obtain informed consent from both before proceeding. If a conflict can't be managed, the broker should address it to protect both clients. Terms like intermediary broker or transaction broker describe different, more limited forms of representation that don’t carry the same fiduciary duties to both parties; “agent of both sides” is another way some places describe the idea, but the standard label for this arrangement is dual agency.

Dual agency is when one broker represents both the buyer and the seller in the same transaction and must uphold fiduciary duties to both clients. This means loyalty to each party, full disclosures, confidentiality, and careful handling of any conflicts of interest. Because the broker owes duties to both sides, they cannot favor one party over the other and must obtain informed consent from both before proceeding. If a conflict can't be managed, the broker should address it to protect both clients. Terms like intermediary broker or transaction broker describe different, more limited forms of representation that don’t carry the same fiduciary duties to both parties; “agent of both sides” is another way some places describe the idea, but the standard label for this arrangement is dual agency.