In a scenario where a licensee owes fiduciary duties to a seller, which situation exemplifies sub-agency?

In the context of agency relationships in real estate, sub-agency arises when one agent (the sub-agent) assists another agent (the primary agent) in representing the principal in a transaction. Specifically, in this case, when a licensee lists a property and also finds a buyer, they act not only in their capacity as the listing agent but also as a sub-agent for the seller. This means that the licensee is working on behalf of the seller and owes fiduciary duties to the seller while also engaging with the buyer.

This situation illustrates sub-agency because the licensee is representing the interests of the seller while actively participating in finding a buyer, reinforcing the duty of loyalty and care that is central to fiduciary relationships. The licensee's actions in promoting the property and facilitating the transaction on behalf of the seller signify a clear example of sub-agency.

In contrast, other scenarios do not embody sub-agency. For instance, simply helping a buyer make an offer or representing the buyer while being loyal to the seller constitutes dual agency, where the agent must balance duties to both parties. Referring a buyer to another professional does not involve any representation in the fiduciary sense and does not establish the necessary agency relationship for sub-agency to be