Skip to main content

Alberta Real Estate Licensing Exam Practice · Question

An unrepresented buyer, Mr. Chen, is interested in a property listed by ABC Realty, where Maria is a licensed associate. Mr. Chen asks Maria for advice on structuring his offer and negotiating a lower price with her seller client. What is Maria's ethical obligation in this situation according to RECA's Rules?

RECA Rules require licensees to act in the best interests of their client. Providing advice to an unrepresented party about structuring an offer or negotiating

Start free practice for Alberta Real Estate Licensing Exam Practice

400 questions · no signup required · 40 free questions per day

Start Practice →

Question: An unrepresented buyer, Mr. Chen, is interested in a property listed by ABC Realty, where Maria is a licensed associate. Mr. Chen asks Maria for advice on structuring his offer and negotiating a lower price with her seller client. What is Maria's ethical obligation in this situation according to RECA's Rules?

Answer options: ✅ Maria must advise Mr. Chen that she cannot provide him with advice as she represents the seller, and recommend he seek independent representation or legal counsel.

  • Maria can provide Mr. Chen with general advice on the offer process, but not specific negotiation strategies.
  • Maria should assist Mr. Chen as best as she can, as she has a duty to treat all parties fairly.
  • Maria must refuse to present any offer from Mr. Chen if he is unwilling to engage his own agent.

Correct answer: Maria must advise Mr. Chen that she cannot provide him with advice as she represents the seller, and recommend he seek independent representation or legal counsel.

Explanation: RECA Rules require licensees to act in the best interests of their client. Providing advice to an unrepresented party about structuring an offer or negotiating against her own client would be a conflict of interest, and Maria must advise Mr. Chen to seek independent representation.

Start free practice for Alberta Real Estate Licensing Exam Practice

400 questions · no signup required · 40 free questions per day

Start Practice →

More about Alberta Real Estate Licensing Exam Practice

Related Questions

More for Alberta Real Estate Licensing Exam Practice candidates

Ready to practice?

Free, no signup required. Build a wrong-question list as you go.

Start Free Alberta Real Estate Licensing Exam Practice Practice →

Related courses

Other Canadian certifications candidates often prepare for alongside this one.