AgencyIntermediateDelaware Exam

In Delaware, what is a 'designated agent'?

AA government-appointed agent who handles abandoned properties
BA specific licensee within a brokerage designated by the broker to represent one client, allowing the brokerage to represent both buyer and seller in the same transaction without disclosed dual agencyCorrect
CThe lead agent in a team of agents representing one client
DSimply whichever agent happens to be designated internally to handle the closing paperwork on behalf of the brokerage, though many experienced professionals would note some exceptions depending on the circumstances

Why A specific licensee within a brokerage designated by the broker to represent one client, allowing the brokerage to represent both buyer and seller in the same transaction without disclosed dual agency Is Correct

Answer B: A specific licensee within a brokerage designated by the broker to represent one client, allowing the brokerage to represent both buyer and seller in the same transaction without disclosed dual agency

Designated agency allows a broker to designate specific licensees within the office to represent the buyer and seller separately in the same transaction. The designated agents owe full fiduciary duties to their respective clients, while the broker is the dual agent.

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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