BC Real Estate Trading Services Licensing Exam Practice · Question
Samantha, a seller's licensee, receives an offer on her client's property at 321 Forest Lane, Whistler. The offer includes a clause stating that the buyer will pay Samantha an additional 'finder's fee' of $5,000 upon completion, directly from the buyer's funds, in addition to the commission paid by the seller. What must Samantha do regarding this proposed payment?
Real Estate Services Rules (Section 5-11, Disclosure of Remuneration) require a licensee to obtain the consent of all principals to the transaction before accep
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Question: Samantha, a seller's licensee, receives an offer on her client's property at 321 Forest Lane, Whistler. The offer includes a clause stating that the buyer will pay Samantha an additional 'finder's fee' of $5,000 upon completion, directly from the buyer's funds, in addition to the commission paid by the seller. What must Samantha do regarding this proposed payment?
Answer options:
- Accept the payment as it is additional remuneration for her services, ensuring it is documented.
- Direct the buyer to pay the additional fee to her brokerage, as all remuneration must go through the brokerage. ✅ Advise the buyer that this payment is not permissible without the seller's knowledgeable consent and full disclosure to all parties.
- Refuse the payment immediately as it constitutes a conflict of interest and is unethical under any circumstances.
Correct answer: Advise the buyer that this payment is not permissible without the seller's knowledgeable consent and full disclosure to all parties.
Explanation: Real Estate Services Rules (Section 5-11, Disclosure of Remuneration) require a licensee to obtain the consent of all principals to the transaction before accepting any remuneration from a person other than the licensee's client, or additional remuneration from their client, that is not disclosed in the client'agency agreement.
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