Under TRESA's regulations, when must an Ontario brokerage that represents a client in a trade disclose that representation to a self-represented party it will assist in the same trade?
Correct Answer
C) Before providing the party any assistance
O. Reg. 567/05 s. 13.1 requires a brokerage that represents a client in a trade and assists a self-represented party in the same trade to disclose, before providing that assistance, that it represents a client, along with the risks, the permitted assistance and a recommendation to seek independent professional advice. This replaces the repealed REBBA-era 'earliest practicable opportunity' standard.
Why This Is the Correct Answer
This answer is correct because s. 13.1 requires the brokerage to make the disclosure before it provides assistance to the self-represented party. That ensures the party understands the brokerage is not on their side before relying on anything it does.
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