Agency Relationships in New Jersey
New Jersey uses the Consumer Information Statement to disclose the available business relationships, including a non-agency transaction-broker option. This chapter explains the disclosure and the recognized relationships.
The Consumer Information Statement
New Jersey licensees must present and review the Consumer Information Statement (CIS) on New Jersey Real Estate Relationships at first contact with a consumer. The CIS explains the roles of a seller's agent, buyer's agent, disclosed dual agent, and transaction broker, and asks the consumer to acknowledge receipt. It helps consumers understand representation before they share confidential information.
Agency Roles
A seller's agent represents the seller and owes fiduciary duties to that client, while a buyer's agent represents the buyer. A disclosed dual agent represents both parties in the same transaction, but only with the informed written consent of both, and may not reveal one party's confidential negotiating information to the other. In all roles the licensee must deal honestly and disclose known material facts.
The Transaction-Broker Relationship
New Jersey also recognizes the transaction broker, a non-agency relationship in which the licensee provides services to help complete the transaction without representing either party as a client. A transaction broker owes honesty and disclosure of known material facts but not the loyalty and advocacy of a full agent. Consumers choose their preferred relationship after reviewing the CIS.