Q: Can two separate brokerages with no affiliation co-list a property together with two listing agents—one from each brokerage?
A: Yes. There is no law or regulation prohibiting this conduct, but this arrangement raises some important issues.
Virginia law requires supervising brokers to “exercise reasonable and adequate supervision” over their associate brokers and salespersons. (VA Code § 54.1-2110.1.) While supervising brokers may designate other brokers to assist in administering their duties, that does not relieve supervising brokers of any responsibility. Brokers should also review the duties imposed by 18VAC135-20-165.
Brokers need to consider that the other broker, their agents, and their employees can impact the mutual client. If the other broker fails to adequately supervise, you may be liable for harm to your mutual client. Additionally, if the co-listing agreement is poorly drafted, there may be confusion about compensation structures and the roles and responsibilities of each broker. It is recommended that a competent attorney draft such an agreement.
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