In conveyancing, if a licensed conveyancer acts for both the seller and the buyer, what is required to avoid conflicts?

In conveyancing, if a licensed conveyancer acts for both the seller and the buyer, what is required to avoid conflicts?

• A. The same representative handles both sides.
• B. Different representatives from the same firm.
• C. Different representatives from different firms.
• D. They may not act for both under any circumstance.

Answer: (B)

When one firm acts for both sides in a sale, the risk is a conflict of interest: the seller and the buyer have competing interests and each needs independent advice and protection. The way to manage this is to have two different representatives within the same firm—one for the seller and one for the buyer. This separation preserves each client’s ability to receive independent, objective guidance, keeps their instructions confidential, and prevents information from one side unduly favoring the other. The firm can still coordinate the transaction, but with clear boundaries and separate files for each party. Using the same representative would create an irreducible conflict of interest, because one person cannot loyally advocate both sides at once. Having two representatives from different firms would also avoid conflicts, but the stated requirement focuses on safeguards available within a single practice. Acting for both sides without safeguards is not appropriate, as it would undermine the integrity of the conveyancing process.

When one firm acts for both sides in a sale, the risk is a conflict of interest: the seller and the buyer have competing interests and each needs independent advice and protection. The way to manage this is to have two different representatives within the same firm—one for the seller and one for the buyer. This separation preserves each client’s ability to receive independent, objective guidance, keeps their instructions confidential, and prevents information from one side unduly favoring the other. The firm can still coordinate the transaction, but with clear boundaries and separate files for each party.

Using the same representative would create an irreducible conflict of interest, because one person cannot loyally advocate both sides at once. Having two representatives from different firms would also avoid conflicts, but the stated requirement focuses on safeguards available within a single practice. Acting for both sides without safeguards is not appropriate, as it would undermine the integrity of the conveyancing process.