New York License Law
Under New York law, a broker who receives conflicting instructions from two principals (e.g., the buyer and seller in a dual agency) should:
AFollow the instructions of the principal who is paying the higher commission
BDisclose the conflict to both parties, attempt to resolve it, and if it cannot be resolved, may need to withdraw from representing one or both parties✓ Correct
CFollow the seller's instructions because the seller pays the commission
DAsk the DOS for written guidance before proceeding
Explanation
In a dual agency situation with conflicting instructions, the New York broker must disclose the conflict to both principals and attempt to mediate a resolution. If the conflict cannot be resolved, the broker may be required to withdraw from representing one or both parties.
People Also Study
Related New York Questions
- In New York, the concept of 'informed consent' required for dual agency means:Agency
- Dual agency in New York requires:Agency
- A New York real estate licensee is required to disclose their license status when:New York License Law
- A New York real estate agent representing a seller of a pre-1978 home must ensure that the buyer receives:Environmental
- A New York broker who receives a referral fee from an out-of-state broker for sending a client must:New York License Law
- A New York licensee who receives a consumer complaint from the DOS is required to:New York License Law
- In New York, a buyer's agent who does not disclose to the seller that their buyer client is in financial difficulty is:Agency
- In New York, the agency disclosure form (required under Real Property Law § 443) must be presented to a buyer or seller:Agency
Key Terms to Know
Agency
A legal relationship in which a licensee (agent) acts on behalf of a principal (buyer or seller) in a real estate transaction.
Dual AgencyA situation where a single real estate agent or brokerage represents both the buyer and the seller in the same transaction.
LienA financial claim against a property that serves as security for a debt or obligation, giving the creditor the right to foreclose if unpaid.
Math Concepts
State-Specific Concepts
License Law
Practice More New York Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free New York Quiz →