What Is Brokerage Relationship?
A formal agreement establishing the role a broker or salesperson will play on behalf of a client. This relationship must be disclosed in writing and defines whether representation is as a seller's agent, buyer's agent, or transaction broker. Illinois law requires clear disclosure before negotiations begin.
Brokerage Relationship across 2 exams
Brokerage Relationship appears on the following exams. Each defines it in the context candidates are tested on:
- IL Broker
- A formal agreement establishing the role a broker or salesperson will play on behalf of a client. This relationship must be disclosed in writing and defines whether representation is as a seller's agent, buyer's agent, or transaction broker. Illinois law requires clear disclosure before negotiations begin.
- AZ Salesperson
- A formal relationship between a broker and a client that defines the nature of representation and the broker's duties. Arizona recognizes different brokerage relationships including seller's agent, buyer's agent, and dual agent, each with specific disclosure and fiduciary requirements.