Strata Management Licensing Practice Exam · Question
A licensed strata manager, Clara, employed by a strata management company in Kelowna, is offered a substantial bonus by a developer if she can successfully expedite the process of obtaining Form F (Payment Certificate) for 50 presale units in Strata Plan KAS6677, which will effectively help the developer close sales faster. The developer's offer is made directly to Clara without the knowledge of her employer or the strata corporation. What is Clara's professional and ethical obligation?
BCFSA Real Estate Services Rules (e.g., 5-11, formerly 3-3, 3-4, 3-5) require a licensee to disclose any remuneration received from a third party to their clien
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Question: A licensed strata manager, Clara, employed by a strata management company in Kelowna, is offered a substantial bonus by a developer if she can successfully expedite the process of obtaining Form F (Payment Certificate) for 50 presale units in Strata Plan KAS6677, which will effectively help the developer close sales faster. The developer's offer is made directly to Clara without the knowledge of her employer or the strata corporation. What is Clara's professional and ethical obligation?
Answer options: ✅ She must refuse the bonus, inform her managing broker, and disclose the offer to the strata council.
- She can accept the bonus as long as it does not interfere with her duties to the strata corporation.
- She must accept the bonus and use it to benefit the strata corporation, such as reducing management fees.
- She should discreetly accept the bonus and ensure the Forms F are processed correctly and on time.
Correct answer: She must refuse the bonus, inform her managing broker, and disclose the offer to the strata council.
Explanation: BCFSA Real Estate Services Rules (e.g., 5-11, formerly 3-3, 3-4, 3-5) require a licensee to disclose any remuneration received from a third party to their client (the strata corporation) and their managing broker. Accepting such an undisclosed bonus creates a clear conflict of interest and violates fiduciary duties.
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