The Dual Agent occurs when a single agent represents both the seller and the buyer for the same property. Can the Broker provide the same level of service to both the buyer and seller? Only if the level of service is redefined to delete the concept of "due no harm". The State of Oregon, in its infinite wisdom, has chosen to address this possibility by creating the “The Disclosed Limited Agency" (Dual Agent) status. They retain the Agency concept except pricing discussions becomes a gray area due to the following rule:
"An agent acting under a Disclosed Limited Agency agreement has the same duties to the client as when representing only a seller or only a buyer, except that the agent may not, without written permission, disclose any of the following:
1. That the seller will accept a lower price or less favorable terms than the listing price or terms;
2. That the buyer will pay a greater price or more favorable terms than the offering price or terms; or
3. In transactions involving one-to-four residential units only, information regarding the real property transaction including, but not limited to, price, terms, financial qualifications or motivation to buy or sell.
No matter whom they represent, an agent must disclose information the agent knows or should know that failure to disclose would constitute fraudulent misrepresentation. Unless agreed to in writing, an agent acting under a Disclosed Limited Agency agreement has no duty to investigate matters that are outside the scope of the agent's expertise."
Therefore if the Broker cannot advise the client about pricing, and purchasing real estate is usually all about the best price for the seller and/or buyer, is the Broker really providing the service as expected? Sorry, but what function does the Broker perform if not advising his client or clients about pricing considerations and obtaining the most advantageous transaction for the client? The Broker collects a commission while neither the seller nor buyer receives full service. Dual Agency is not only unfair to clients but also creates unreasonable liability on the Broker.