During a showing for a property at 456 Oak Avenue, Victoria, licensee Emily finds an unrepresented buyer, Mr. Chen, who is very interested. Emily is representing the seller. Before Mr. Chen makes an offer, what is Emily's most immediate and critical obligation under BCFSA Rules regarding Mr. Chen's unrepresented status?

Question: During a showing for a property at 456 Oak Avenue, Victoria, licensee Emily finds an unrepresented buyer, Mr. Chen, who is very interested. Emily is representing the seller. Before Mr. Chen makes an offer, what is Emily's most immediate and critical obligation under BCFSA Rules regarding Mr. Chen's unrepresented status?

Answer options:

• Emily must advise Mr. Chen to seek legal counsel and provide him with a list of recommended lawyers. ✅ Emily must complete and present the 'Disclosure of Risks to Unrepresented Parties' form to Mr. Chen and review its contents with him.
• Emily must inform Mr. Chen that she is representing the seller and cannot provide him with any advice.
• Emily must offer to provide services to Mr. Chen but only with a signed representation agreement.

Correct answer: Emily must complete and present the 'Disclosure of Risks to Unrepresented Parties' form to Mr. Chen and review its contents with him.

Explanation: Real Estate Services Rule 5-10.1 requires a licensee to make a 'Disclosure of Risks to Unrepresented Parties' to an unrepresented party before providing any real estate services, other than advertising, to or on behalf of that party.