AgencyIntermediateArizona Exam

In Arizona, a 'consensual dual agency' arrangement requires the licensee to provide reduced services to both parties. Specifically, the agent is NOT required to:

AMaintain complete transaction records, since the dual agent's conflicting loyalty relieves them of the designated broker's standard recordkeeping requirements
BPresent all offers in a timely manner
CDisclose to either party information that could disadvantage the other party, such as one party's motivation or negotiating limitsCorrect
DSupervise affiliated licensees representing either party, since supervisory duties are suspended during the active dual agency relationship

Why Disclose to either party information that could disadvantage the other party, such as one party's motivation or negotiating limits Is Correct

Answer C: Disclose to either party information that could disadvantage the other party, such as one party's motivation or negotiating limits

In dual agency, the agent cannot fully advocate for either party. The agent is still required to present offers, disclose material property facts, and treat both parties honestly.

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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