Disclosure of Role - Agency

I'm a REALTOR®, a member of the Canadian Real Estate Association and I subscribe to a Code of Ethics and Standards of Business Practice. One requirement of the Code is that REALTORS® must disclose in writing whom they are representing when providing Agency services:

 Article 2: Disclosure of Role - Agency, A REALTOR® shall fully disclose in writing to, and is advised to seek written acknowledgement from, his or her Clients and those Customers who are not represented by other Registrants regarding the role and nature of the service the REALTOR® will be providing. This disclosure shall be made at the earliest possible opportunity and in any event prior to the REALTOR® providing professional services which go beyond providing information as a result of incidental contact by a consumer. 

In New Brunswick, "Agent" means a person who trades in real estate and "Salesman" means a person employed, appointed or authorized by an Agent to trade in real estate. Real Estate Agents, their Managers and their Salespersons must be licensed. When using the services of an Agent in buying or selling real estate, it is important that you understand who the Agent (including all the Agent’s authorized representatives and licensees) is representing. Is the Agent representing the seller, the buyer, or both? Are you the Agent’s client? Are you a customer?

The difference between merely receiving information from an Agent and being represented by an Agent is the difference between a customer and a client.

A customer (third party) is a person who has not engaged or employed an Agent in an agency capacity. A client (principal) is a person who has engaged or employed an Agent to act as that person's agent. The Agent and every employee of the Agent owes the client principal the fiduciary duties of undivided loyalty, full disclosure, lawful obedience, confidentiality, accounting and reasonable care.

 SINGLE AGENCY (undivided loyalty)

• A buyer’s agent represents the buyer, preferably pursuant to a Buyer Agency Agreement. All fiduciary duties of an Agent apply.

• A seller’s agent represents the seller, either as a listing agent under a listing agreement with the seller or by cooperating as a sub-agent. All fiduciary duties of an Agent apply.

DUAL AGENCY (conflict of interest)

•  Dual agency occurs when a real estate Agency is representing both seller and buyer in the same transaction.  Since the Agency promised confidentiality, loyalty, and full disclosure to both parties, it becomes necessary to limit these duties in this situation, if both parties provide informed consent in writing.
  If you find yourself about to become involved in a dual agency relationship, you have the right to say "No".

Acknowledgement - This form does not create an agency relationship. Its purpose is to ensure that my clients and customers understand the role and nature of the service I will be providing and to acknowledge that disclosure of my role has occurred.

I/We, _______________________________________________________________  have read and understand this form and acknowledge that Larry Estabrooks, Agent & REALTOR®,  disclosed he is representing: