Agency

Ostensible (apparent) agency arises when:

AA formal agency agreement is signed
BA principal's conduct leads a third party to reasonably believe an agency exists✓ Correct
CA broker acts for a seller without any agreement
DTwo brokers share a listing

Explanation

Ostensible or apparent agency occurs when the principal's conduct or representations cause a third party to reasonably believe that an agency relationship exists, even without a formal agreement.

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