Agency Disclosure Form

A licensee shall disclose the following information  to a  prospective  Buyer at the initial interview before the Buyer enters into an agreement of sale:

    Whether the broker is the agent of the seller or the agent for the buyer.

The existence of a real estate Recovery Fund to reimburse a person who has obtained a final civil judgment against a Pennsylvania real estate licensee owing to fraud, misrepresentation or deceit in a real estate transaction and who has been unable to collect  the judgment after exhausting legal and equitable remedies.  Details about the Fund may be obtained by calling the Commission at (717) 783-3658. 

Agency Relationship:  Under the common law this relationship can be defined as follows: 

1.   Agency is a relationship of confidentiality and trust (a fiduciary relationship) that results when one person consents to having another person act on his/her control, and the other person agrees to do so. 

2.   The one who controls the actions of the other is the clients. 

3.   The one who is performing the actions on behalf of the other is the agent.  In a real estate transaction, the agency relationship is formed between the brokerage firm (including all the licensees) and the client: 

Fiduciary Duties:  Those duties owed by the agent to the client. 

1.    Duty of Loyalty:  The agent must act at all times solely in the best interest of the client, to the exclusion of all other interests, including the agent’s. 

2.   Duty of Obedience:  The agent is obligated to obey promptly and efficiently all lawful and reasonable instructions  of the client. 

3.   Duty of Disclosure:  The agent is obligated to inform the client of all relevant and material information that the agent knows and that pertains to the scope of the agency, unless the agent obtained the information in a previous, fiduciary relationship.

4.   Duty of Confidentiality:  The agent is obligated to protect and keep the client’s confidence. 

5.   Duty of Reasonable care and Diligence:  The agent is obligated to use reasonable care and diligence in pursuing the client’s affairs. 

6.   Duty of  Accounting:  The agent is obligated to account for all money and or property received from or on behalf of the client. 

Because of the nature of the agency relationship a client can be held accountable  for actions and representations of his/her agent. 

1.   Client:  A buyer or seller who contracts with an agent to represent his/her interests and to act on his/her behalf and under his/her direction. 

2.   Customer:  A buyer who is not represented by an agent and who is buying a property from a seller who is represented by an agent.  Also, a seller of a property that is not listed with a broker and that is being sold to a buyer who is represented by an agent. 

3.   Selling Agent:  Any agent who sells the property, who may be the listing agent for the seller, the subagent of the seller, a buyer’s agent or limited dual agent. 

4.   Listing Agent:  An agent of the seller who - through a written  contract - is employed by the seller to  market the seller’s property usually with an exclusive right to do so and who represents the seller during  the sale and settlement of the property.  Also known as seller’s agent. 

5.   Subagent of the Seller:  An agent (another brokerage) employed by another agent to perform duties for a seller.  The subagent owes the same duties and responsibilities to the seller as the listing agent.  The agency relationship - as well as the possible liability for an agent’s actions - also extends from the subagent to the listing agent and seller. 

6.   Buyer’s Agent:  A real estate agent who - through a written contract - is employed by the buyer to represent the buyer’s interests in a real estate transaction, regardless of whether the agent is paid by the buyer, the seller, or through shared fee with the listing agent. 

7.   Limited Dual Agency:  An agent who represents both the buyer and the seller with the written and informed consent of both parties, modifying the fiduciary duties.

AGENT’S COMPANY POLICY DISCLOSURE  

 Agent:

Paul E. Simmons Realty

RR 2 Box 105   1840 Route 739

Dingman Ferry, PA 18328

 NOTE:  In Pennsylvania, the term “Agent” refers to the brokerage firm and includes all licensees affiliated with the firm.

The Agent’s general company policy on agency allows for the following manner of representation:

·       .               Exclusive Seller Agency:  The Agent only represents sellers.  Any licensees within the company that bring a buyer to the property function as the agents for the seller.  Agency may be considered Agent for the Buyer for the purposes of negotiating the mortgage loan, as provided by the Mortgage  Contingency Addendum.  Agent may also provide selected services for the buyer, as provided on the Agreement of Sale. 

·                                Exclusive Buyer Agency:   The Agent represents only Buyers.  The Agent does not accept listing contracts from sellers nor does the Agent function as an agent for the seller under any circumstances. 

·                                  Seller Agency  & Buyer Agency, with Limited Dual Agency:  The Agent enters into agency agreements with both buyers and sellers, with the understanding that the Agent may function as a limited dual agent. 

·                                   Single Agency:  The  Agent enters into agency agreements with both buyers and sellers, but will not represent more than one party in a particular transaction. 

Titles and headings  are general terms, used for reference only, and do not fully explain agency relationships. 

I/we have read and understand the various agency terms and alternatives presented above and the Agent’s general policy on agency. 

       Consumer_______________________________________________________________________________________________________

 Dated___________________________________________________________________

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