Delaware Code Title 24 Sec. 2933 – Statutory agency
(a) The common law of agency relative to brokerage relationships in real estate services transactions established pursuant to this chapter is expressly abrogated for any licensee functioning as a broker, associate broker, or salesperson, licensee owner, or brokerage organization as defined in this chapter as a statutory agent. The remainder of this subchapter is intended to occupy completely the field of law relative to brokerage relationships for those real estate services transactions with the licensee or licensee’s functioning as statutory agents. For those areas where the public, licensees, regulators, or courts need further guidance as to the conduct of statutory agents, customers and clients, the law governing independent contractor relationships shall apply to the extent it is not inconsistent with the provisions of this chapter.
Terms Used In Delaware Code Title 24 Sec. 2933
- agent: means a licensee functioning as a party in an agency relationship created according to subchapter II of this chapter as an independent contractor and not as a fiduciary. See Delaware Code Title 24 Sec. 2902
- Associate broker: means any individual who holds an associate broker license from the Commission and who is licensed under a broker to sell or offer to sell, or to buy or to offer to buy, or to negotiate the purchase, sale, or exchange of real estate, or to lease or rent or offer for rent any real estate, or to negotiate leases or rental agreements thereof or of the improvements thereon for others. See Delaware Code Title 24 Sec. 2902
- Broker: means any individual who holds a broker license from the Commission and who for a compensation or valuable consideration, is self-employed or is employed directly or indirectly by a brokerage organization to sell or offer to sell, or to buy or offer to buy, or to negotiate the purchase, sale, or exchange of real estate, or to lease or rent or offer for rent any real estate, or to negotiate leases or rental agreements thereof or of the improvements thereon for others. See Delaware Code Title 24 Sec. 2902
- Brokerage organization: means that individual or business entity which is not licensed but is acting as a broker under § 2901(c) of this title and is the trade name under which the broker operates. See Delaware Code Title 24 Sec. 2902
- Commission: means the Delaware Real Estate Commission. See Delaware Code Title 24 Sec. 2902
- Common law: The legal system that originated in England and is now in use in the United States. It is based on judicial decisions rather than legislative action.
- Dual agent: means a salesperson, associate broker, broker and/or brokerage organization which represents both buyer and seller or tenant and landlord as clients in a real estate services transaction. See Delaware Code Title 24 Sec. 2902
- Licensee: means an individual licensed under this chapter as a broker, associate broker or salesperson without implying what legal relationship they have with a customer or client. See Delaware Code Title 24 Sec. 2902
- Real estate services: means those activities performed by a licensee as defined in this chapter. See Delaware Code Title 24 Sec. 2902
- Remainder: An interest in property that takes effect in the future at a specified time or after the occurrence of some event, such as the death of a life tenant.
- Salesperson: means any individual who holds a salesperson license from the Commission and who is licensed under a broker to sell or offer to sell, or to buy or to offer to buy, or to negotiate the purchase, sale, auction or exchange of real estate, or to lease or rent or offer for rent any real estate, or to negotiate leases or rental agreements thereof or of the improvements thereon for others. See Delaware Code Title 24 Sec. 2902
(b) Statutory interpretation. — Performing the functions of a statutory agent as described in this chapter and the rules and regulations of the Commission shall not be construed to automatically or by implication create a common law agency relationship. This section through § 2938 of this title shall be construed as rules of conduct describing how a licensee works for clients, works with customers, or interacts with the general public as a statutory agent in the capacity of an independent contractor and not as a common law agent.
(c) Presumed statutory agency. — (1) For properties marketed for sale of 1-to-4 family residences or single lot sales of land intended for a 1-to-4 family residence:
a. The licensee working for the buyer is presumed to be a statutory agent representing the buyer;
b. A licensee working for the seller is presumed to be a statutory agent representing the seller; and
c. A licensee working for both buyer and seller is presumed to be a statutory agent representing both parties as a dual agent.
(2) For new construction onsite sales offices for 1-to-4 family residences or single lot sales of land intended for a 1-to-4 family residence, the onsite licensee shall be presumed to be a statutory agent representing the builder or seller.
(3) The presumption of agency may be rebutted by the consumer signing a consumer information statement establishing a different agency relationship.