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Alberta Real Estate Licensing Exam Practice · Question

Sarah is a real estate associate representing a seller. Her brokerage, 'Apex Realty', also has another associate, David, who is representing a buyer interested in Sarah's listing. What type of agency relationship exists between Sarah, David, and their respective clients under the Real Estate Act Rules?

This scenario describes designated agency, where different licensees from the same brokerage are designated to represent different clients in the same transacti

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Question: Sarah is a real estate associate representing a seller. Her brokerage, 'Apex Realty', also has another associate, David, who is representing a buyer interested in Sarah's listing. What type of agency relationship exists between Sarah, David, and their respective clients under the Real Estate Act Rules?

Answer options: ✅ Designated Agency

  • Sole Agency
  • Common Law Agency
  • Dual Agency

Correct answer: Designated Agency

Explanation: This scenario describes designated agency, where different licensees from the same brokerage are designated to represent different clients in the same transaction, each owing their full fiduciary duties to their respective client, as per RECA's Real Estate Act Rules.

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