Key Takeaways
- Alaska recognizes seller agency, buyer agency, dual agency, and designated agency
- Agency relationships must be disclosed in writing to all parties
- Dual agency requires informed written consent from both parties before becoming binding
- Designated agency allows different licensees within the same brokerage to represent opposing parties
- All licensees owe duties of honesty and fair dealing to all parties, regardless of representation
Alaska Agency Relationships
Alaska law defines the types of agency relationships that real estate licensees may have with consumers under AS 08.88 and 12 AAC 64.
Types of Agency Relationships
Seller Agency (Listing Agent)
A seller's agent is a licensee who represents the seller:
| Aspect | Details |
|---|---|
| Client | Seller |
| Primary duty | Promote seller's interests |
| Compensation | Usually from seller |
| Authority | Per listing agreement |
Seller agent duties include:
- Loyalty to the seller
- Confidentiality of seller's information
- Full disclosure of material facts to seller
- Obedience to lawful instructions
- Accounting for all funds
- Reasonable care and diligence
Buyer Agency
A buyer's agent is a licensee who represents the buyer:
| Aspect | Details |
|---|---|
| Client | Buyer |
| Primary duty | Promote buyer's interests |
| Compensation | May be from buyer, seller, or split |
| Authority | Per buyer agency agreement |
Buyer agent duties include:
- Loyalty to the buyer
- Confidentiality of buyer's information
- Full disclosure of material facts to buyer
- Assistance in property search and negotiation
- Accounting for all funds
- Reasonable care and diligence
Dual Agency
Dual agency occurs when a licensee or brokerage represents both the buyer and seller in the same transaction:
| Requirement | Description |
|---|---|
| Disclosure | Must disclose dual agency to both parties |
| Written consent | Both parties must consent in writing |
| Timing | Consent required before transaction becomes binding |
| Limitations | Cannot fully advocate for either party |
Warning: Dual agency limits what an agent can do for either party. The agent must remain neutral and cannot negotiate on behalf of one party against the other.
Designated Agency
Designated agency allows a broker to designate different licensees within the brokerage to represent opposing parties:
| Feature | Description |
|---|---|
| How it works | Broker designates one agent for buyer, another for seller |
| Benefit | Each party has their own dedicated representative |
| Broker role | Broker remains neutral, supervises both agents |
| Disclosure | Required to both parties |
No Agency (Transactional Brokerage)
In some situations, a licensee may provide services without representing either party as an agent:
| Feature | Description |
|---|---|
| Role | Facilitator, not advocate |
| Duties | Honesty, fairness, disclosure of material facts |
| Limitations | Cannot negotiate for either party |
| When used | When neither party wants representation |
Duties to ALL Parties
Alaska law imposes certain duties on all licensees to all parties in a real estate transaction, regardless of who they represent:
Universal Duties
| Duty | Description |
|---|---|
| Honesty | Deal honestly and in good faith |
| Disclosure of material facts | Disclose known material facts affecting property |
| Competent service | Provide services with reasonable skill |
| Timely presentation | Present all offers promptly |
| Accounting | Account for all funds received |
Material Fact Disclosure
Material facts that must be disclosed to all parties include:
- Known physical defects
- Environmental hazards
- Legal issues (liens, easements, zoning)
- Facts affecting value or desirability
- Licensee's personal interest in transaction
Key Point: Even when representing only one party, you must be honest and disclose material facts to all parties.
What type of agency allows different licensees within the same brokerage to represent opposing parties?
Which duty does an Alaska licensee owe to ALL parties in a transaction?