Can an agent represent multiple principals simultaneously?

Prepare for the Champions Law of Agency Test. Use flashcards and multiple choice questions with hints and explanations to boost readiness. Get exam-ready!

An agent can represent multiple principals simultaneously as long as there is full disclosure and consent from all parties involved. This means that the agent must clearly communicate to each principal that they are representing other clients and ensure that all parties agree to this arrangement. This practice is often seen in real estate and legal contexts, where agents may represent different clients in transactions.

Full disclosure helps to avoid conflicts of interest and maintains the trust necessary for an agent-principal relationship. Without this consent, the agent could find themselves in situations where the interests of one principal may conflict with those of another, which could lead to legal issues or ethical dilemmas. Thus, the necessity for consent ensures that all parties are aware of the dynamics and potential conflicts involved in the representation.

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