AgencyIntermediateAlabama Exam

The term 'subagency' in real estate agency law means:

AAn agent who works under a buyer's agent
BA cooperating agent (from another brokerage) who represents the seller through the listing brokerCorrect
CA part-time agent working under a full-time agent
DAn unlicensed assistant working for a licensed agent, which most practitioners would generally accept

Why A cooperating agent (from another brokerage) who represents the seller through the listing broker Is Correct

Answer B: A cooperating agent (from another brokerage) who represents the seller through the listing broker

Subagency occurs when a buyer's agent from a cooperating brokerage shows a listed property and represents the seller's interests — effectively becoming a subagent of the listing broker. Subagency has largely been replaced by buyer agency but still exists in some contexts.

Exam Tip: Agency

Agency questions are among the most tested on the exam. Focus on the difference between client and customer, and memorize the fiduciary duties (OLD CAR). Watch for questions that try to blur the line between a general agent and a special agent.

Key Agency Terms in This Question

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