At some point in a Richmond transaction, someone slides a form across a table and says a version of “this just means we represent both sides.” That form is a statutory consent, and what you are consenting to is specific, written down, and narrower than the reassurance sounds.
The controlling section is § 54.1-2139 of the Code of Virginia, “Disclosed dual agency and dual representation authorized in a residential real estate transaction.” We read it, plus § 54.1-2138 on disclosure of brokerage relationship and § 54.1-2139.1 on designated agency, before writing this.
Dual agency is permitted in Virginia, but only on written consent
The first sentence of the section is the whole rule:
“A licensee may not act as a dual agent or dual representative in a residential real estate transaction unless he has first obtained the written consent of all parties to the transaction given after written disclosure of the consequences of such dual agency or dual representation.”
Code of Virginia § 54.1-2139(A)
Three requirements are packed into that. Consent must be written, must come from all parties, and must come after written disclosure of the consequences – and the section requires that disclosure be given to both parties “prior to the commencement of such dual agency or dual representation.”
It also distinguishes two labels people use interchangeably: a dual agent has an agency relationship under the brokerage agreements, while a dual representative has an independent contractor relationship under them. The form asks the firm to tick whether each side is served as a standard agent, a limited service agent, or an independent contractor.
The form cannot be buried in the contract
Subsection D is the part that most protects a buyer or seller. A disclosure does not comply if it is “not signed by the client” or if it is “given in a purchase agreement, lease, or any other document related to a transaction.” The consent has to be its own signed document; a clause inside the purchase agreement does not count. The flip side is in the same subsection: once you sign a compliant disclosure, consent is presumed as against you. The moment of signature is the moment that matters.
What you actually give up, in the statute’s own words
Subsection H sets out the form’s required content, and the consequences are unusually plain for a statute. Where a firm represents one existing and one new client, the parties acknowledge they understand, among other things:
“1. That following the commencement of dual agency or representation, the licensee cannot advise either party as to the terms to offer or accept in any offer or counteroffer; however, the licensee may have advised one party as to such terms prior to the commencement of dual agency or representation;
2. That the licensee cannot advise the buyer client as to the suitability of the property, its condition … and cannot advise either party as to what repairs of the property to make or request;
3. That the licensee cannot advise either party in any dispute that arises relating to the transaction …”
Code of Virginia § 54.1-2139(H)
Read item 1 twice. Advice on price is the most valuable thing an agent provides, and it goes away the moment dual agency commences – but the statute expressly preserves that the licensee “may have advised one party as to such terms” beforehand. That is a structural asymmetry written into the law: if the listing agent has been advising the seller on price for six weeks and you are the new client, you arrive without that history.
Item 2 removes advice on suitability, condition and repairs, which is most of what a buyer’s agent does during the inspection period. Item 3 removes advice in any dispute, exactly when you most want someone on your side. The form also acknowledges the licensee may be acting without knowledge of a client’s needs or capabilities, and that either party may engage another licensee at additional cost. Where the firm represents two existing clients, the parties additionally acknowledge that the dual agent may not disclose information given within the confidence of the brokerage relationship, except as Article 3 of Chapter 21 requires or permits. Confidentiality is preserved; advocacy is not.
Designated agency is a different arrangement under a different section
Designated agency is often described as “dual agency with a workaround,” which both undersells and overstates it. It has its own section, § 54.1-2139.1, “Designated standard agency or designated representation authorized in a residential real estate transaction.”
“A principal or supervising broker may assign different licensees affiliated with the broker as designated agent or representative to represent different clients in the same residential real estate transaction to the exclusion of all other licensees in the firm. Use of such designated agents or representatives shall not constitute dual agency or representation if a designated agent or representative is not representing more than one client in a particular real estate transaction; however, the principal or broker who is supervising the transaction shall be considered a dual agent or representative …”
Code of Virginia § 54.1-2139.1(A)
What that preserves is real: you keep a licensee whose duty runs to you alone, including advice on price, terms, condition and repairs. Two things it does not do. First, the supervising broker is still a dual agent – the firm sits on both sides even though your agent does not. Second, it still requires conspicuous disclosure under the article, and the same section lets a licensee withdraw without liability from a client who refuses to consent. Note too that designated agents may not disclose your personal or financial information, or anything you asked be kept confidential, except to the affiliated licensee’s broker. That broker is inside your circle of confidence by statute.
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When the disclosure is legally due
The trigger in § 54.1-2138 is earlier than most people expect. On having a “substantive discussion about a specific property or properties” with a buyer or seller who is not the licensee’s client and is not represented by another licensee, the licensee must disclose any brokerage relationship with another party – in writing, “at the earliest practical time, but in no event later than the time when specific real estate assistance is first provided.”
The formatting requirement is not decorative: combined with other information, the disclosure must be conspicuous – “printed in bold lettering, all capitals, underlined, or within a separate box.” Two more provisions: a change in the licensee’s relationship to a client must be disclosed in writing to everyone already involved, and copies relating to fully executed purchase contracts are kept for three years.
How this shows up in Richmond, in three places
At a builder’s sales office
The person at the desk in a new construction community works for the builder. That is the arrangement, not a criticism. They are not your representative, and the disclosure obligation exists precisely because a “substantive discussion about a specific property” is what happens at that desk. Sites across Hallsley, the Chesterfield growth corridors and western Short Pump all run this way. See do you need a buyer’s agent to buy new construction in Richmond, and what is actually being built on our new construction page.
At an open house held by the listing agent
You walk into a house in the Fan or anywhere else in the City of Richmond, unrepresented, and start a substantive conversation about that house with the seller’s agent. The written disclosure is due at the earliest practical time and no later than when specific assistance is first provided. If a consent form appears, you may read it, take it away, and decline it. Declining does not cost you the house; it means you bring your own representation or proceed unrepresented with your eyes open. Browse Richmond-area open houses knowing that is how the exchange should work.
On an in-house sale inside one brokerage
This is the common one. The listing is with a firm and a buyer working with a different agent at the same firm wants it. Under § 54.1-2139.1 the supervising broker can designate each licensee to one side, which is not dual agency for the individual agents – but the broker is a dual agent, and the disclosure still has to be given and consented to. If a single licensee holds both sides, you are in § 54.1-2139 territory and every consequence in subsection H applies. Ask which it is, in writing.
What to do when the form appears
- Ask which section applies. Dual agency under § 54.1-2139, or designated agency under § 54.1-2139.1? Different documents, different consequences.
- Check it is standalone and signed. Under subsection D, a disclosure inside the purchase agreement does not comply.
- Ask what advice you are losing. Can this licensee advise me on what to offer, on condition, and on repairs? Under dual agency the statute says no.
- Ask who has already been advised. The statute permits prior advice to one party. Find out whether that happened.
- Say no if you want to. The licensee may then withdraw, which is expressly permitted, but you keep the right to engage another licensee – the form says so.
- Do not sign at a showing. Nothing requires you to sign on the spot.
Declining is not an accusation. Plenty of competent agents hold both sides properly and disclose properly. The point is that the statute strips out specific advice, and you should know which advice before you agree, not after your inspection report comes back. Selling side? What a realtor costs when selling in Richmond and do I need an agent to sell my house are the honest reads, and how sellers should evaluate bids in 2026 shows why undivided advice on terms matters most at that moment.
Where to check the rules yourself
The Virginia Real Estate Board at DPOR licenses and regulates licensees in the Commonwealth and is where a complaint about a disclosure failure would go. For neutral consumer guidance on the process itself, use the Consumer Financial Protection Bureau’s homebuying resources.
This is not legal advice. We are describing what §§ 54.1-2137, 54.1-2138, 54.1-2139 and 54.1-2139.1 say, not applying them to your situation. If a disclosure or consent form is in front of you and something about it worries you, have a Virginia real estate attorney read it before you sign.
Want representation that only has one side?
We will tell you in writing, before you tour anything, whether a transaction we bring you could become dual or designated agency and what your options are. See buy with us and sell with us, or just ask us.
Dual agency questions Virginia buyers and sellers ask
Is dual agency legal in Virginia?
Yes, with conditions. Section 54.1-2139 authorizes disclosed dual agency and dual representation in residential transactions, but only where the licensee has first obtained written consent from all parties, given after written disclosure of the consequences, and delivered before the dual agency commences.
Can the consent be part of the purchase contract?
No. Subsection D says a disclosure does not comply if it is not signed by the client, or if it is given in a purchase agreement, lease or any other document related to a transaction. It has to be a separate, signed disclosure.
What happens if I refuse to consent?
Subsection G lets the licensee withdraw from representing you without liability, which terminates that brokerage relationship. It expressly does not prejudice the licensee’s ability to keep representing the other client in that transaction, or to represent you in other transactions that do not involve the dual agency.
Does dual agency terminate my existing brokerage agreement?
Not by the act of disclosure. Subsection F provides that no cause of action arises against a dual agent for making the disclosures the article requires, and that making them does not terminate any brokerage relationship. Separately, subsection E confirms the disclosure obligation does not replace the requirement in § 54.1-2137(C) that all brokerage relationships be set out in a written agreement.
Under designated agency, can my agent tell the other side what I said?
Not the other side, but their broker is a different matter. Section 54.1-2139.1(A) says designated agents may not disclose personal or financial information received from clients, or other information the client asked be kept confidential, except to the affiliated licensee’s broker – unless the law provides otherwise or you consent in writing.
How conspicuous does the disclosure have to be?
If it is combined with other disclosures or information, § 54.1-2138 requires it be conspicuous, and gives four acceptable treatments: bold lettering, all capitals, underlined, or within a separate box. A disclosure in ordinary body text inside a stack of paperwork does not meet that standard.
How long does the brokerage keep the signed disclosure?
Three years. Section 54.1-2138(D) requires the licensee to keep copies of disclosures relating to fully executed purchase contracts for three years as proof of having made the disclosure, whether or not the recipient acknowledged it in writing.
