Agency

Sub-agency occurs when:

AA buyer works with a buyer's agent
BOne broker refers a client to another broker for a referral fee
CAn agent acts on behalf of another broker's principal, typically the seller✓ Correct
DTwo brokers co-list the same property

Explanation

Sub-agency occurs when one broker acts on behalf of another broker's principal. For example, a cooperating broker who works with a buyer but represents the seller is a sub-agent of the listing broker.

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