Definition
Dual agency occurs when a single agent (or two agents at the same brokerage, depending on the state) represents both the buyer and the seller in the same transaction. Because the agent owes duties to both parties, dual agency creates an inherent conflict of interest.
Most states require written, informed consent from both parties before dual agency is permitted, and a few states prohibit it entirely. Disclosure requirements are strict.
Why it matters
Dual agency raises both legal and ethical exposure, so the disclosure and consent documents have to be in place and provable. A missing or unsigned agency disclosure is a serious compliance gap.
Treating agency disclosures as consent documents owned by the relationship, and gating the transaction on them, keeps the brokerage protected and the consent verifiable.
Realm tracks agency disclosures as consent documents and gates the transaction until they are signed and on file.