45:15-16.92 Brokerage firms acting as a disclosed dual agent, informed consent of both parties, residential, commercial real estate transaction; duties, exceptions.

673 words·~3 min read·/nj/title-45/chapter-15/45-15-16-92·

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

7. a. A brokerage firm, including its brokers, broker-salespersons, and salespersons, may act as a disclosed dual agent only with the informed consent of both parties to the transaction as set forth in brokerage services agreements signed by the buyer and the seller, respectively, in a residential real estate transaction or otherwise in writing in a commercial real estate transaction.

b. In addition to the duties provided for under current law, the duties of a disclosed dual agent shall include the following, which may not be waived, except as expressly set forth in paragraphs (4),

(5)and

(6)of this subsection:

(1)to take no action that is adverse or detrimental to either party's interest in a transaction;

(2)to timely disclose to both parties any actual or potential conflicts of interest which the disclosed dual agent may reasonably anticipate;

(3)to advise both parties to seek expert advice on matters relating to the transaction that are beyond the disclosed dual agent's expertise;

(4)not to disclose any confidential information from or about either party, except under subpoena, court order, or otherwise as provided by law or as expressly authorized by the party, even after termination of the agency relationship;

(5)unless otherwise agreed to in writing with the seller, to make a good faith and continuous effort to find a buyer for the property, except that a disclosed dual agent is not obligated to seek additional offers to purchase the property while the property is subject to an existing contract for sale that is no longer subject to the attorney-review period, if applicable;

(6)unless otherwise agreed to in writing with the buyer, to make a good-faith and continuous effort to find a property for the buyer, except that a disclosed dual agent is not obligated to seek additional properties to purchase while the buyer is a party to an existing contract to purchase that is no longer subject to the attorney-review period, if applicable; and

(7)any additional duties that are agreed to in writings signed by a disclosed dual agent or an authorized representative of the brokerage firm and each of the parties.

c. Notwithstanding any provision of chapter 15 of Title 45 of the Revised Statutes or any other law, rule, or regulation to the contrary, including, but not limited to, subsection i. of R.S.45:15-17, a broker, broker-salesperson, or salesperson acting as a disclosed dual agent in a real estate transaction shall be deemed to be acting in the same capacity with the buyer and the seller as a dual agent and may receive compensation through its brokerage firm from either or both the buyer and seller provided that the sources and amounts of compensation are disclosed in writing to the buyer and the seller.

(1)The showing of properties not owned by the seller to prospective buyers or the listing of competing properties for sale by a disclosed dual agent does not constitute action that is adverse or detrimental to the seller or create a conflict of interest.

(2)The representation of or acting as a transaction broker with more than one seller by different brokers, broker-salespersons, or salespersons licensed with the same brokerage firm in competing transactions involving the same buyer does not constitute action that is adverse or detrimental to the seller or create a conflict of interest.

(1)The showing of property in which a buyer is interested to other prospective buyers or the presentation of additional offers to purchase property while the property is subject to a transaction in which a disclosed dual agent is involved does not constitute action that is adverse or detrimental to the buyer or create a conflict of interest.

(2)The representation of or acting as a transaction broker with more than one buyer by the brokerage firm, including different brokers, broker-salespersons, or salespersons affiliated with the brokerage firm, in competing transactions involving the same property does not constitute action that is adverse or detrimental to the buyer or create a conflict of interest.

L.2024, c.32, s.7.