What term is used for a licensee representing a client through a cooperative agreement with the client's broker?

The term "subagent" refers to a licensee who is authorized to represent a client through a cooperative agreement with the client's broker. In this arrangement, the subagent acts on behalf of the primary agent (the client's broker) and has a fiduciary duty to the client, which includes loyalty, full disclosure, and acting in the client's best interests. This relationship allows the subagent to assist in transactions while maintaining the overarching representation by the broker.

Understanding the role of a subagent is essential because it clarifies how multiple parties can work together in real estate transactions. It emphasizes the importance of the relationship between brokers and agents and the legal obligations that arise from these roles. This designation is particularly relevant in scenarios where multiple brokers cooperate to achieve a common goal, such as closing a sale.