A single-family home in Montréal is purchased for $600,000 with a $60,000 deposit. The real estate broker holds the deposit in their trust account. On the day of the sale (date of transfer), the buyer's lawyer fails to submit the balance due to the seller's notary due to a bank transfer error. The seller's notary immediately notifies the buyer's broker. What is the immediate action the buyer's broker must take regarding the deposit?

Question: A single-family home in Montréal is purchased for $600,000 with a $60,000 deposit. The real estate broker holds the deposit in their trust account. On the day of the sale (date of transfer), the buyer's lawyer fails to submit the balance due to the seller's notary due to a bank transfer error. The seller's notary immediately notifies the buyer's broker. What is the immediate action the buyer's broker must take regarding the deposit?

Answer options:

• Return the deposit to the buyer's lawyer. ✅ Hold the deposit in trust until the issue is resolved or until a written agreement between buyer and seller is reached.
• Transfer the deposit to the seller's notary.
• Transfer the deposit to their own operating account for safekeeping.

Correct answer: Hold the deposit in trust until the issue is resolved or until a written agreement between buyer and seller is reached.

Explanation: According to the Real Estate Brokerage Act and the Rules of Professional Conduct of brokers, the deposit held in a trust account cannot be disbursed without the written consent of both parties (buyer and seller) or a court order. The broker must hold it in trust until the issue is resolved or a new agreement is reached to protect all parties.