An agent represents a buyer interested in a property listed by another agent at the same brokerage. Both the buyer and the seller signed brokerage representation agreements, not designated representation agreements. What situation has been created under Ontario's TRESA rules?
Correct Answer
D) Brokerage multiple representation
With brokerage representation agreements, the brokerage itself represents both the buyer and the seller, so it represents more than one client in the same trade. O. Reg. 567/05 s. 22 allows this only after the brokerage discloses the fact and the differences in duties, services and remuneration to each client and each client consents in writing. Had both clients signed designated representation agreements with different salespersons, the brokerage would not be representing either of them.
Why This Is the Correct Answer
This answer is correct because both clients signed brokerage representation agreements with the same brokerage, so the brokerage represents the buyer and the seller in the same trade. That is multiple representation under O. Reg. 567/05 s. 22, which requires disclosure to each client and each client's written consent before the brokerage acts for both.
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An agent representing a seller receives two offers simultaneously. One offer is higher but comes with conditions that may be problematic, while the other is lower but unconditional. How should the agent present these offers?
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An Ontario salesperson represents a seller who receives two identical offers, one of them from the salesperson's spouse. The seller does not know about the relationship. What does the Code of Ethics require if the salesperson is to keep acting for the seller?