If a broker does not tell the seller that they are working for both the buyer and seller (known as "dual agency"), then the seller does not have to pay the broker's fee for the completed transaction. The broker may be responsible for any money the seller lost because of this (up to three times the amount of the losses). There is no punishment by the law for not disclosing dual agency.
These are questions that the above text answers:
1. What is the consequence of not disclosing dual agency to a seller?
2. What is dual agency in real estate?
3. Who is responsible for paying the broker's fee in a completed transaction?
4. Can a broker be held responsible for the seller's financial losses due to undisclosed dual agency?
5. What are the roles and responsibilities of a real estate agent?
6. What happens if a broker works for both the buyer and seller in a transaction?
7. Is the seller obligated to pay the broker's fee if dual agency is not disclosed?
8. Are there any legal consequences for a broker who fails to disclose dual agency?