Agency Relationships, Fiduciary Duties and Disclosures
Core concepts
Oklahoma's Broker Relationships Act governs how licensees disclose and establish agency. A licensee must disclose the type of relationship offered and obtain the required written acknowledgment before confidential information is shared or an offer is made. Relationships commonly include seller's agent, buyer's agent, and transaction broker or limited-representation arrangements; dual representation must be handled with informed written consent where permitted. Fiduciary duties include care, obedience, loyalty, disclosure, accounting, and confidentiality. Confidentiality can outlast termination for information learned during the relationship.
Traps
Do not assume that paying a commission creates agency. A listing broker who is paid by the seller may still represent the buyer only after proper consent. Another trap is implied agency: casual advice or conduct can create expectations, so licensees must clarify roles early. A transaction broker does not owe undivided loyalty to one party; that changes what may be disclosed. Remember that material facts about the property must be disclosed regardless of agency, while confidential motivations may not be.
Worked example
A buyer calls the listing agent directly. The agent may not silently become the buyer's advocate. The agent should explain the available relationships, provide the required disclosure, and obtain written consent before acting as a dual agent or transaction broker. If the buyer refuses consent, the agent continues to represent the seller and must not share the buyer's confidential financial information with the seller.
Rule of thumb
Disclose early, disclose in writing, and never let compensation determine loyalty. If you are unsure who you represent, stop and clarify before receiving confidential information.