In what scenario is a dual agency considered illegal?

A dual agency situation arises when a single agent represents both the buyer and the seller in the same transaction. This can create a potential conflict of interest since the agent is tasked with advocating for the best interests of both parties, which may not always align. In Florida, dual agency is considered illegal when an agent attempts to represent both parties without obtaining informed consent from both sides. Without this consent, the agent cannot legally perform in a dual capacity while ensuring that both parties' interests are adequately protected.

This is significant because the absence of consent can lead to a violation of fiduciary duties, putting the agent at risk of legal repercussions and possibly damaging the trust essential in real estate transactions. Informed and voluntary consent allows both parties to be aware of any potential conflicts and agree on how their interests will be managed in the transaction. Therefore, the scenario where an agent represents both parties without their consent is clearly illegal.