Which statement accurately describes a situation of sub-agency?

Which statement accurately describes a situation of sub-agency?

• A. A buyer's agent lists a property on behalf of the seller
• B. An agent shows a buyer a house without any formal agreement
• C. A listing agent works solely for the seller
• D. A buyer's agent directly represents the seller's interests

Answer: (B)

The statement that accurately describes a situation of sub-agency is that an agent shows a buyer a house without any formal agreement. In this scenario, the agent is acting as a sub-agent to the listing agent (the agent representing the seller) since there is no formal agreement with the buyer, thereby creating a sub-agency relationship. This typically occurs when the buyer is being shown properties listed by another agent, and the showing agent does not have a specific agreement with the buyer. In the context of agency relationships, sub-agency refers to a relationship where one agent (the sub-agent) assists another agent (the primary agent) in representing the interests of a client. Here, since there is no formal agreement between the agent and the buyer, the agent’s duties align more closely with those expected of a sub-agent rather than a direct representative of the buyer. In contrast, options that indicate a buyer's agent listing a property on behalf of the seller or directly representing the seller's interests do not accurately reflect sub-agency, as those would involve more direct agency relationships rather than the assistance of a sub-agent. A listing agent solely representing the seller likewise does not depict a sub-agency situation; it simply illustrates the primary agent relationship.

The statement that accurately describes a situation of sub-agency is that an agent shows a buyer a house without any formal agreement. In this scenario, the agent is acting as a sub-agent to the listing agent (the agent representing the seller) since there is no formal agreement with the buyer, thereby creating a sub-agency relationship. This typically occurs when the buyer is being shown properties listed by another agent, and the showing agent does not have a specific agreement with the buyer.

In the context of agency relationships, sub-agency refers to a relationship where one agent (the sub-agent) assists another agent (the primary agent) in representing the interests of a client. Here, since there is no formal agreement between the agent and the buyer, the agent’s duties align more closely with those expected of a sub-agent rather than a direct representative of the buyer.

In contrast, options that indicate a buyer's agent listing a property on behalf of the seller or directly representing the seller's interests do not accurately reflect sub-agency, as those would involve more direct agency relationships rather than the assistance of a sub-agent. A listing agent solely representing the seller likewise does not depict a sub-agency situation; it simply illustrates the primary agent relationship.