What type of agency relationship exists between an Indiana broker and a seller under a listing contract?

The relationship that exists between an Indiana broker and a seller under a listing contract is characterized as a special agency. In this context, a special agency is established when the broker is authorized to perform specific tasks on behalf of the seller, such as marketing the property and negotiating offers. This type of agency is limited in scope, meaning the broker acts solely to achieve the objectives defined in the listing agreement without taking on broader responsibilities or authority over the seller's entire portfolio or other unrelated matters.

In contrast, a general agency would imply a broader relationship where the agent has permission to make decisions and act across a wider range of the principal's business affairs. This is not the case in a typical listing contract, which is focused specifically on the sale of a particular property.

Dual agency involves representing both the buyer and the seller in a transaction, which doesn’t apply when discussing the relationship solely between the broker and the seller in this scenario. Likewise, joint agency suggests a partnership of multiple agents acting on behalf of the same principal, which is again not relevant within the confines of a standard listing contract.

Understanding this framework of special agency is crucial for real estate professionals, as it sets clear expectations for the parties involved and outlines the broker's specific duties and limitations in relation to