Author: Thomas Potter, Theron R. Nelson, and Susan Logan Nelson

Start Page: 87
End Page: 98
Volume: 6
Issue Number: 1
Year: 1991
Publication: Journal of Real Estate Research

Abstract: The legal environment for real estate brokers is moving inexorably toward the doctrine of strict liability in a product liability context. The agency relationship model currently popular in real estate brokerage may not be able to withstand this threat. A recommendation is made that the industry move toward a market-making role which lies outside the chain of distribution of the real estate product. By moving out of the distribution channel, brokers may be able to revert to a "due care" standard performance.