Ontario Real Estate Licensing Exam Practice · Question
A salesperson, Julia, is representing a seller, Mr. Chen, for his farm property in Prince Edward County. A buyer, Ms. Lee, contacts Julia directly and expresses interest in the property. Ms. Lee declines to sign a buyer representation agreement but requests Julia's assistance in preparing an offer. How should Julia proceed, considering TRESA's requirements for Designated Representation and Self-Represented Parties?
When dealing with a self-represented party, a registrant must disclose their representation of the client (Mr. Chen), provide the RECO Information Guide, and ca
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Question: A salesperson, Julia, is representing a seller, Mr. Chen, for his farm property in Prince Edward County. A buyer, Ms. Lee, contacts Julia directly and expresses interest in the property. Ms. Lee declines to sign a buyer representation agreement but requests Julia's assistance in preparing an offer. How should Julia proceed, considering TRESA's requirements for Designated Representation and Self-Represented Parties?
Answer options: ✅ Julia must inform Ms. Lee that she represents Mr. Chen, provide Ms. Lee with the RECO Information Guide, and prepare the offer as a service to a self-represented party, ensuring she does not provide advice that undermines Mr. Chen's interests.
- Julia must refuse to prepare the offer for Ms. Lee because Ms. Lee is unwilling to enter into a buyer representation agreement.
- Julia can prepare the offer for Ms. Lee as long as she obtains verbal consent from Ms. Lee to act as an unrepresented buyer.
- Julia must advise Mr. Chen that she will have to decline to assist Ms. Lee with the offer due to a conflict of interest in providing services to both parties.
Correct answer: Julia must inform Ms. Lee that she represents Mr. Chen, provide Ms. Lee with the RECO Information Guide, and prepare the offer as a service to a self-represented party, ensuring she does not provide advice that undermines Mr. Chen's interests.
Explanation: When dealing with a self-represented party, a registrant must disclose their representation of the client (Mr. Chen), provide the RECO Information Guide, and can perform services for the self-represented party (Ms. Lee), such as preparing an offer, while always prioritizing the interests of their client. This is in line with the Code of Ethics under TRESA regarding self-represented parties.
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