In a jurisdiction where the common law of agency governs real estate activities, a buyer has a single agency relationship with a broker. The buyer wants to purchase one of the brokerage company's listings from a seller with whom the broker also currently has a single agency relationship. This will create dual agency but in order for this relationship to be legal, it will be necessary to have written consent of the

Rationale

Written consent of the buyer and seller is necessary for dual agency to be legal.

In a dual agency situation, where a broker represents both the buyer and the seller, it is essential to obtain the written consent of both parties to ensure transparency and legality in the transaction.

A (seller.) YOUR ANSWER

Only obtaining the seller's consent is insufficient because dual agency involves representing both the buyer and the seller. Without the buyer's consent, the dual agency relationship cannot be legally established.

B (buyer.) YOUR ANSWER

Similar to the previous option, securing only the buyer's consent does not fulfill the legal requirement for dual agency. The seller's consent is equally necessary to ensure that all parties are aware of the broker's dual role.

C (buyer and seller.) CORRECT

Written consent from both the buyer and the seller is required to legally establish a dual agency relationship. This mutual agreement protects the interests of both parties and ensures that they are aware of potential conflicts of interest that may arise from the broker representing both sides.

D (seller, buyer and broker.) YOUR ANSWER

While the broker's involvement is essential in facilitating the dual agency, the key requirement is the written consent of the buyer and seller. The broker does not need their own separate consent beyond the agreement established with both parties.

Conclusion

In a dual agency situation within common law jurisdictions, the legal requirement mandates obtaining written consent from both the buyer and seller. This consent ensures that all parties understand the broker's role and the potential for conflicts of interest. Without the agreement of both parties, the dual agency arrangement cannot be legally upheld, emphasizing the importance of transparency in real estate transactions.

Written consent of the buyer and seller is necessary for dual agency to be legal.

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