Dual Agency Disclosure & Informed Consent — Arkansas Edition Template

Dual agency — one brokerage (or one agent) representing both buyer and seller in the same transaction — is the most heavily regulated conflict of interest in residential real estate. A handful of states ban it outright; the rest permit it only with the informed written consent of both parties, obtained after meaningful disclosure of what the parties are giving up. Get the consent wrong and the consequences stack fast: license discipline, commission forfeiture, and rescission or damages claims grounded in breach of fiduciary duty. Courts have long treated undisclosed dual agency as a fiduciary breach that can void the broker's right to any commission.

This 4-page Informed Consent form does the disclosure properly rather than minimally. It explains in plain language what agency representation normally includes (undivided loyalty, full disclosure, advocacy on price and terms); exactly which duties are limited in dual agency (the agent cannot advocate for either side on price, cannot disclose one party's willingness to pay more or accept less, cannot share confidential negotiating positions); what duties remain intact (honesty, disclosure of material property facts, accounting, confidentiality); and the designated agency alternative where the brokerage appoints separate agents for each party, where state law permits. Both buyer and seller sign separate acknowledgment and consent blocks, with transaction-specific identification and timing language confirming consent was obtained before or at the point dual agency arose.

The 50-state notes summarize the landscape: consent-based regimes (e.g., New York's RPL § 443 disclosure form with dual agency consent), designated agency states, transaction-brokerage states that replace agency entirely, and the states where dual agency is prohibited. This template supplements — and in states with mandatory statutory forms, accompanies — the state-prescribed disclosure. Not a substitute for your state's required form where one exists.

About this Arkansas Edition: Every template was redrafted around the Arkansas Real Estate License Law (Ark. Code Ann. Title 17, Chapter 42) and the Arkansas Real Estate Commission's agency regulations, under which dual agency is permitted only with the informed written consent of both parties and all compensation must flow through the principal broker. Because Arkansas has no mandatory statutory seller disclosure form, the disclosure templates are built as voluntary, actual-knowledge disclosures framed by Arkansas fraud and misrepresentation law, the Arkansas Deceptive Trade Practices Act (Ark. Code Ann. § 4-88-101 et seq.), and the licensee's regulatory duty to disclose known material defects. Writings are keyed to the Arkansas statute of frauds (Ark. Code Ann. § 4-59-101) and the Arkansas Uniform Electronic Transactions Act (Ark. Code Ann. § 25-32-101 et seq.), the broker lien statute is treated as limited to commercial real estate (Ark. Code Ann. Title 18, Chapter 44, Subchapter 3), and the independent contractor template references Arkansas's covenant-not-to-compete statute (Ark. Code Ann. § 4-75-101).