Legal Blog - Agency


Does the buyer have to consent to sub-agency?

Sep 9, 2016


Question: Does the buyer have to consent to sub-agency?

Answer: Yes. Even though a sub-agent does not represent the buyer, the licensee must still discuss agency relationships as mandated by state law. A buyer may decline to work with a sub-agent if he or she prefers to work with a real estate licensee under a buyer agency or non-agency (i.e. transactional brokerage) relationship. Failure to disclose a sub-agent’s representational relationship with the seller to a buyer can create the potential for undisclosed dual agency, which is a violation of Virginia law. One contributing factor to the decline of sub-agency has been the rapid increase in the number of lawsuits from buyers regarding undisclosed dual agency.

  • Agency
Back to Legal FAQs