INITIAL AGENCY DISCLOSURE PAMPHLET
INFORMATION FOR REAL ESTATE BROKERS AND PRINCIPAL BROKERS
A licensed real estate broker or principal real estate broker is required to give a copy of an Initial Agency Disclosure Pamphlet to each consumer the broker will represent. The pamphlet describes the legal relationship between a broker and the consumer when the broker acts as the consumer’s “agent.”
Real estate brokers and principal real estate brokers have legal obligations, called affirmative duties, to both buyers and sellers in a real estate transaction.
Oregon Revised Statute (ORS) 696.805 lists the affirmative duties of a licensed real estate broker or principal real estate broker acting as a seller’s agent.
The affirmative duties of a broker or principal broker acting as a buyer’s agent are found in ORS 696.810.
ORS 696.815(1) allows a real estate licensee to represent both the seller and the buyer in a real estate transaction under a disclosed limited agency agreement, provided there is full disclosure of the relationship under the agreement.
Oregon Administrative Rules (OAR), adopted by the Oregon Real Estate Agency, provide the form and content of the disclosures and the related pamphlet. OAR 863-015-0215 is set forth below for the convenience of licensees. The Agency has provided a sample Initial Agency Disclosure Pamphlet after the broken line that meets the requirements of OAR 863-015-0125.
863-015-0215
Initial Agency Disclosure Pamphlet
For purposes of this rule, “at first contact” means at the time the agent has sufficient contact information about a person to be able to provide an initial agency disclosure pamphlet to that person. Contact with a person includes, but is not limited to contacts in person, by telephone, over the Internet, by electronic mail, or by similar methods.
An agent shall provide a copy of the initial agency disclosure pamphlet, which complies with section (5) of this rule, at first contact with:
A prospective party to a real property transaction; or
An unrepresented party seeking representation during the course of a real property transaction.
An agent must provide the initial agency disclosure pamphlet in a written format by electronic mail, over the Internet, by USPS mail, facsimile, hand delivery or similar delivery method.
An agent need not provide a copy of the initial agency disclosure pamphlet to a party who has, or may be reasonably assumed to have, received a copy of the pamphlet from another agent.
The initial agency disclosure pamphlet must contain:
(a) The following information, directed to the consumer:
(A) A licensed real estate broker or principal broker must give a copy of the initial agency disclosure pamphlet at first contact with a prospective party to a real property transaction or at first contact with an unrepresented party seeking representation during the course of a real property transaction.
(B) A licensed real estate broker or principal broker need not provide a copy of the initial agency disclosure pamphlet to a party who has, or may be reasonably assumed to have, received a copy of the pamphlet from another broker.
(C) The pamphlet describes the legal relationship between a broker and a consumer when the broker acts as the consumer’s agent; and
(D) The pamphlet is informational only and may not be construed to be evidence of intent to create an agency relationship, as provided in ORS 696.820.
(b) A general definition of an agency relationship and the three real estate agency relationships of seller’s agent, a buyer’s agent and a disclosed limited agent.
(c) The definition of “confidential information” in ORS 696.800.
(d) The affirmative duties and responsibilities of a seller’s agent under ORS 696.805.
(e) The affirmative duties and responsibilities of a buyer’s agent under ORS 696.810.
(f) The affirmative duties and responsibilities of a disclosed limited agent who represents both the buyer and the seller in a transaction under ORS 696.815.
(g) The following statement to the consumer, “Whether you are a buyer or seller, you cannot make a licensee your agent without the licensee’s knowledge and consent, and an agent cannot make you a client without your knowledge and consent.”
The Real Estate Agency will make available a sample of an initial agency disclosure pamphlet that complies with section (5) of this rule on the Agency’s website.
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