A BC licensee receives a $50,000 deposit cheque, payable to their brokerage, from a buyer. Under the Real Estate Services Act, when must the money reach the brokerage trust account?
Correct Answer
A) Promptly to the brokerage, which must then promptly deposit it in trust
RESA s. 27(1) requires a licensee to promptly pay or deliver to the brokerage all money received for a principal, and s. 27(2) requires the brokerage to promptly pay it into a brokerage trust account. The Act sets no fixed number of days; BCFSA's deposit guidance says funds must immediately be deposited into the trust account.
Why This Is the Correct Answer
This answer is correct. Section 27(1) of RESA requires the licensee to promptly deliver the $50,000 to the brokerage, and s. 27(2) requires the brokerage to promptly pay it into a brokerage trust account.
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