Disclosed dual agency involves :

• A. Representing both parties with informed consent and acknowledging the risks.
• B. Representing only one party and ignoring the other.
• C. It is illegal in all circumstances.
• D. It requires no disclosure.

Answer: (A)

Disclosed dual agency means a single licensee represents both the buyer and the seller in the same transaction, but only with informed written consent from both parties and with awareness of the potential conflicts. The agent must be transparent about how representing both sides could affect loyalty, confidentiality, and decision-making, and must refrain from favoring one party over the other. This approach recognizes the reality of shared interests while protecting each party’s ability to decide based on full information.

This isn’t about representing only one party or ignoring the other, nor is it universally illegal or free of disclosure obligations. The key is that all parties are informed and consent to the dual representation, with an understanding of the associated risks.