Commission Position E-38. Office Policy May Contain Designation of Brokerage Relationship

For purposes of this rule, seller shall include landlord, and buyer shall include tenant. Pursuant to C.R.S. 12-61-802(1.5), an employing broker or employed broker must be designated in writing by the employing broker to serve as a single agent or transaction-broker for a seller or buyer. Employing brokers comply with the statute if they make such written designation, as appropriate to the brokerís business, in an office policy that states:

(1)Listing contracts by single individuals: that the individual broker entering into the listing contract is the sellerís designated agent or designated transaction broker.

(2) Right to buy or tenant contracts by individual: that the individual broker entering into the right to buy or tenant contract is the buyerís designated agent or transaction broker, whichever is appropriate.

Listing contracts by teams: that the individual team member(s) entering into the listing contract is the sellerís designated agent or transaction-broker, whichever is appropriate, in which case that designation and brokerage relationship shall apply to all members of the team.

Right to buy or tenant contracts by teams: that the individual team member(s) entering into the right to buy or tenant contract is the buyerís designated agent or transaction-broker, whichever is appropriate, in which case that designation and brokerage relationship shall apply to all members of the team

(5) Individuals or teams working with both buyer and seller:

(a)††† that the individual(s) or team is a transaction-broker for both buyer and seller, or;

(b)††† that the individual(s) or team is a single agent for the seller or buyer, and that the other party is a customer.

(6) Substitute or additional brokers:† that the employing broker reserves the right to substitute or add other designated brokers, as appropriate, which shall be disclosed to the buyer or seller.

(7)Transaction-broker - written disclosure: that a broker working with a buyer or seller as a Transaction-Broker as the result of a written disclosure is the designated broker for that buyer or seller.