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In ordinary words.
One brokerage may work on both sides of a home sale, with limitations on how freely it can advocate for either party.
In legal terms.
Some states allow disclosed and consented dual agency, while others restrict or prohibit it.
Where it stops being legal.
Missing informed consent and breaches of fiduciary duties can be unlawful.
General U.S.-focused information. Cases and statutes may have jurisdiction-specific exceptions. This citation may be a general primer; verify the governing primary authority. Not legal advice.