At the brokerage level, what is 'designated agency' (sometimes called appointed agency)?

Designated (or appointed) agency is a way brokerages handle in-house transactions where both buyer and seller are clients of the same firm. Rather than the entire brokerage acting as a dual agent, the managing broker designates one licensee to represent the seller and a different licensee to represent the buyer. Each designated agent can advocate fully for their own client, while the broker manages the inherent conflict and protects confidential information. State law and disclosure requirements govern when and how this is permitted, and clients are typically informed in writing. This concept is specific to the broker level because it involves the broker's management of agency within the firm.