§ 17-530.1. Dual agency
West's Annotated Code of MarylandBusiness Occupations and ProfessionsEffective: October 1, 2016
Effective: October 1, 2016
MD Code, Business Occupations & Professions, § 17-530.1
Formerly cited as MD BUS OCCUP & PROF § 17-530(c), (d)
§ 17-530.1. Dual agency
(a) Except as otherwise provided in subsection (b) of this section, a licensed real estate broker, licensed associate real estate broker, or licensed real estate salesperson may not act as a dual agent in this State.
(b)(1)(i) If a licensed real estate broker obtains the written informed consent of all parties to a real estate transaction, the real estate broker, or a branch office manager described in § 17-518(d) of this subtitle who has been designated by the licensed real estate broker, may act as a dual agent for both the seller and the buyer or the lessor and the lessee in the same real estate transaction.
(ii) The dual agent in a real estate transaction shall assign a licensed associate real estate broker or licensed real estate salesperson affiliated with the real estate broker to act as the intra-company agent on behalf of the seller or lessor and another licensed associate real estate broker or licensed real estate salesperson affiliated with the real estate broker to act as the intra-company agent on behalf of the buyer or lessee.
(iv) If a real estate broker offers any financial bonuses to licensees affiliated with the broker for the sale or lease of real property listed with the real estate broker, the real estate broker shall provide to each party to a real estate transaction a statement that discloses that financial bonuses are offered.
(v) An intra-company agent representing the seller or buyer shall provide the same services to the client as an agent for the seller or buyer would provide in a real estate transaction that does not involve dual agency, including advising the client as to price and negotiation strategy, provided that the intra-company agent has made the appropriate disclosures to the client and the client has consented, as required by this section, to dual agency representation.
(2) The written consent for dual agency shall include an affirmation that identifies the property and the buyer when the real estate broker or branch office manager is serving as a dual agent and the buyer and seller or lessee and lessor enter into a written contract for sale or for a lease, respectively.
(c) The written consent for dual agency shall include a statement that:
(5) unless authorized by the seller, neither an intra-company agent nor a dual agent may tell a buyer that the seller will accept a price lower than the listing price or accept terms other than those contained in the listing agreement or suggest that the seller accept a lower price in the presence of the buyer;
(6) unless authorized by the buyer, neither an intra-company agent nor a dual agent may tell a seller that the buyer is willing to pay a price higher than the price the buyer offered or accept terms other than those contained in the offer of the buyer or suggest that the buyer pay a higher price in the presence of the seller;
(d)(1) A cause of action may not arise against a licensee for disclosure of the dual agency relationship as provided by this section.
(e)(1) In any residential real estate transaction, a licensed real estate broker may withdraw from representing a client who refuses to consent to a disclosed dual agency and to terminate the brokerage relationship with the client.
Credits
Added as Business Occupations and Professions § 16-528(c), (d), by Acts 1994, c. 719, § 1, eff. Jan. 1, 1995. Renumbered as Business Occupations and Professions § 17-528 by Acts 1994, c. 3, § 13, eff. Feb. 28, 1994. Renumbered as Business Occupations and Professions § 17-530 and amended by Acts 1998, c. 628, § 1, eff. Jan. 1, 1999. Amended by Acts 2008, c. 282, § 1, eff. Oct. 1, 2008. Renumbered as Business Occupations and Professions § 17-530.1 and amended by Acts 2016, c. 311, § 1, eff. Oct. 1, 2016.
MD Code, Business Occupations & Professions, § 17-530.1, MD BUS OCCUP & PROF § 17-530.1
Current through legislation effective through April 9, 2023, from the 2024 Regular Session of the General Assembly. Some statute sections may be more current, see credits for details.
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