Part 2 - Industry Standards of Practice

Division 2 - Real Estate Brokerage Standards

Definition

47 This Division applies to all classes of real estate brokers and a reference to “industry member” includes a real estate brokerage, broker, associate broker and associate.
 
Oct 1/06

Agency Relationship
48 For the purposes of this division:
  (a) an agency relationship is established when a buyer or a seller expressly or implicitly consents that an industry member should act on his or her behalf, and the industry member consents so to act or so acts in a trade of real estate;
  (b) a buyer or seller who is in an agency relationship is a client of the industry member; and
  (c) a buyer or seller who is not in an agency relationship with the industry member is a customer.
    Oct 1/06

Real Estate Brokerage Responsibilities
49 A real estate brokerage must:
(a) only trade in real estate in the name that appears on the brokerage’s licence;
(b) ensure the name of the brokerage is clearly indicated in the course of trading in real estate including any related advertisements; and
(c) disclose to the client the nature and extent of any benefits the brokerage:
  (i) anticipates receiving, directly or indirectly, from expenditures made by or on behalf of a client to or on behalf of whom rental property management services are or may be provided; or
  (ii) anticipates any associate of the brokerage will receive, directly or indirectly,  from expenditures made by or on behalf of a client to or on behalf of whom rental property management services are or may be provided.
    Oct 1/06

Real Estate Brokerage Prohibitions
50 A real estate brokerage must not:
(a) employ, permit or engage a broker, associate broker or associate registered with another brokerage to trade in real estate in its name or on its behalf, directly or indirectly, as the case may be;
(b) employ a person to trade in real estate unless that person meets the requirements of the Act, Regulations, Rules and Bylaws, and all levies, fees, premiums, fines, administrative penalties and other amounts that are payable under or pursuant to the Act, Regulations, Rules, or Bylaws or under any predecessor enactments in respect of that person have been paid;
(c) pay a commission or other remuneration, directly or indirectly, in connection with a trade in real estate except:
  (i) to a broker, associate broker or associate employed by the brokerage or to not more than one corporation of which that broker, associate broker or associate as the case may be, owns not less than fifty percent (50%) of the shares issued by that corporation;
  (ii) to a brokerage that is licensed under these Rules or under similar legislation in a jurisdiction outside of Alberta; or
  (iii) to an auctioneer qualified under the regulations under the Fair Trading Act, where the trade in real estate is made in the course of and as part of that person’s duties as an auctioneer;
(d) pay, offer to pay, agree, or allow to be paid a referral fee or any remuneration to a person in relation to real estate services if the person is required to be licensed in relation to those services but is not licensed; or
(e) pay a commission or other remuneration directly or indirectly in connection with a trade in real estate to a brokerage that is licensed under these Rules or under similar legislation in a jurisdiction outside of Alberta when the brokerage has knowledge that the commission or remuneration will be paid to or be shared with a person who is required to be licensed in relation to those services but is not licensed.
  Oct 1/06

Real Estate Broker Responsibilities
51(1) A real estate broker must:
(a) be actively engaged in the management of the real estate brokerage with which the broker is registered;
(b) trade in real estate only in the name that appears on the individual’s licence and in the name of the brokerage with which the broker is registered;
(c) ensure the name of the brokerage is clearly indicated in the course of trading in real estate, including any related advertisements;
(d) ensure the business of the brokerage is carried out competently and in accordance with the Act, Regulations, Rules and Bylaws;
(e) ensure there is an adequate level of supervision for associate brokers or associates, as the case may be, within the brokerage and employees who perform duties on behalf of the brokerage;
(f) provide all industry members of the brokerage and other personnel with written policies and procedures by which they are expected to operate, including written policies and procedures for personal trades;
(g) ensure that for all monies held in trust, the bank records are maintained in accordance with the Act, Regulations, Rules, Bylaws and the law as it relates to trustees;
(h) ensure adequate control over any access to ABM cards used for electronic deposits and transfers and any access codes used for Internet banking or ABM cards;
(i) review all real estate agreements in a timely manner, including but not limited to client/customer relationships and accepted offers to purchase;
(j) ensure proper management and control of documents or records related to licensing, registrations and related regulatory requirements;
(k) ensure all documents and records related to trades in real estate required under the Act and these Rules are maintained or made available by the brokerage for the purposes of a review at the registered business office of the brokerage;
(l) ensure that all parties to an agreement giving effect to a trade in real estate are immediately notified if:
  (i) a deposit contemplated by the agreement that, if received, would be held by the related brokerage under the Act has not been received; or
  (ii) a deposit cheque or other negotiable instrument that the brokerage received in respect of a deposit referred to in (i) above has not been honoured; and
(m) ensure notice under (l) above is given in writing or confirmed in writing.
51(2) When a broker does not have a controlling interest in the ownership of the real estate brokerage, the broker must have a written agreement with the brokerage giving the broker authority to carry out the duties and responsibilities of a broker under these Rules.
51(3) A broker is accountable for the conduct of an associate broker, associate or employee, as the case may be, if the broker:
(a) was not actively involved in the management of the brokerage;
(b) failed to ensure an adequate level of supervision was in place for the associate broker, associate or employee, as the case may be;
(c) was wilfully blind to the conduct of the associate broker, associate or employee, as the case may be;
(d) was a participant in the misconduct;
(e) had knowledge of the misconduct of the associate broker, associate or employee, as the case may be, and failed to take reasonable steps to stop such misconduct;
(f) upon becoming aware of the misconduct failed to take reasonable steps to correct the misconduct or reduce any harm that may have resulted from the misconduct; or
(g) failed to notify the executive director upon becoming aware of misconduct relating to fraud, deception, theft, or unlawful activities on the part of the associate broker, associate or employee.
  Oct 1/06

Delegation by Broker
52(1) A real estate broker may delegate the broker’s duties and responsibilities to another industry member registered with the brokerage if:
  (a) the delegate is registered with the brokerage and is qualified to carry out the responsibilities;
  (b) the particulars of the delegation of responsibilities by the broker to the delegate are clear, in writing, agreed to and understood by the broker and the delegate;
  (c) the particulars of the delegation are communicated to the employees and associates of the brokerage, associate brokers and associates, as the case may be; and
  (d) the broker has a system in place to monitor the delegate and verify that adequate supervision is being maintained.
52(2) In the event a real estate broker delegates the broker’s duties and responsibilities to a delegate, the broker remains accountable for the conduct of the delegate and all associate brokers, associates or employees in the brokerage.
  Oct 1/06

Real Estate Associate Broker and Associate Responsibilities
53 A real estate associate broker and associate must:
(a)

trade in real estate only in the name that appears on that individual’s licence and in the name of the brokerage with which that individual is registered;

(b) ensure that all trades in real estate and the relevant documentation meet legislative requirements found under the Act, Regulations, Rules and Bylaws;
(c) provide to the broker in a timely manner all original documentation and copies of original documents provided to the parties or maintained by other brokerages:
  (i) related to a trade in real estate; and
  (ii) required under the Act and these Rules;
(d) keep the broker informed of the activities being performed by the associate broker or associate on behalf of the brokerage;
(e) ensure there is an adequate level of supervision for his employees and others who perform duties on his behalf;
(f) notify the broker if a deposit referred to in Rule 51(1)(l) has not been received;
(g) respond promptly to any inquiry that is addressed to him by the broker; and
(h) notify the broker upon learning of a violation of the Act, Regulations, Rules or Bylaws by any broker, associate broker, associate or employee associated with a brokerage.
  Oct 1/06

Real Estate Broker, Associate Broker and Associate Prohibitions
54(1) A real estate broker, associate broker or associate, as the case may be, must not:
  (a) trade in real estate on behalf of a brokerage other than the brokerage with which he is registered;
  (b) promise to pay or pay a commission, referral fee or other remuneration, directly or indirectly, to any person resulting from or in connection with a trade in real estate except through the brokerage with which he is registered;
  (c) accept a commission, referral fee or other remuneration, directly or indirectly, for a trade in real estate except through the brokerage with which he is registered;
  (d) directly or indirectly, advertise, communicate or offer to any person an incentive except an incentive that is provided by and on behalf of the brokerage with which he is registered; or
  (e) make an inducement unless, at the time of making the inducement, he delivers to the person to whom the inducement is made a statement signed by:
    (i) the real estate broker, associate broker or associate, and
    (ii) if applicable, the other person involved in the inducement, clearly setting out all the details of the inducement.
54(2) A real estate broker, associate broker or associate, as the case may be, must not directly or indirectly, provide an inducement unless the inducement is provided by and on behalf of the brokerage with which the real estate broker, associate broker or associate is registered, details of the inducement are provided in writing and the broker has provided written approval.
54(3) An industry member shall not provide any services to the client or potential client in a trade or anticipated trade in which the industry member has, or will have, a conflict of interest without receiving the written and informed consent of the party.
  Oct 1/06

Disclosure Requirements
55(1) Before eliciting or as soon as possible upon receiving confidential information from any person concerning that person’s real estate needs, motivation, financial qualifications or in any event before entering into a service agreement, an industry member must disclose in writing to that person:
  (a) the nature of the services the industry member will provide;
  (b) whether the industry member is acting in the trade or anticipated trade on behalf of any other person, in any capacity;
  (c) any conflict of interest that may exist; and
  (d) any other facts that may be likely to influence the person’s decision.
55(2) If subsequent to this disclosure, there is any material change in the facts which have been disclosed, the industry member must immediately disclose the change to that person.
55(3) The industry member must use his best efforts to obtain written acknowledgement of disclosures made pursuant to this section.
55(4) The industry member’s duty of disclosure is not triggered merely by:
  (a) a bona fide “open house” showing;
  (b) preliminary conversations or “small talk” concerning the price range, location and property styles; or
  (c) responding to general factual questions from a potential buyer or seller.
    Oct 1/06

Exclusive Agreements
56 Repealed
    Council Resolution 2013-2

Sole Agency With a Seller
57 The basic obligations of an industry member who is in a sole agency relationship with a seller are:
  (a) to use best efforts to market the property and to promote the interests of the seller;
  (b) at the earliest reasonable opportunity, to advise any buyer interested in the property that the industry member is the seller’s agent;
  (c) subject to section 59 to act as only the seller’s agent:
  (d) to obey all lawful instructions of the seller;
  (e) to fulfill its fiduciary duties of loyalty, confidentiality and of full disclosure of all conflicts of interest that may arise between the seller’s interests and those of the industry member or buyers;
  (f) not to appoint another brokerage to act on behalf of the seller as sub-agent without the seller’s prior written consent;
  (g) to exercise reasonable care and skill in the performance of the agreement;
  (h) to assist the seller in negotiating favourable terms and conditions with a buyer and in preparing and complying with a legally binding agreement of purchase and sale of the property;
  (i) to disclose to all buyers all material latent defects affecting the property known to the industry member;
  (j) to provide, in a timely manner, all offers and counter-offers to and from the seller even when the property is already the subject of an agreement of purchase and sale;
  (k) to disclose, in a timely manner, to the seller all relevant facts affecting the transaction known to the industry member;
  (l) to keep the seller fully informed regarding the progress of the transaction;
  (m) to advise the seller to obtain expert advice on matters of importance to the seller; and
  (n) to comply with the provisions of the Act, Regulations, Rules and Bylaws.
    Oct 1/06

Sole Agency With a Buyer
58 The basic obligations of an industry member who is in a sole agency relationship with a buyer are to:
  (a) use best efforts in locating a property in the specified market area that meets the material requirements identified by the buyer and generally to promote the interests of the buyer;
  (b) at the earliest reasonable opportunity, advise any seller in whose property the buyer is interested that the industry member is the buyer’s agent;
  (c) subject to section 59, act as only the buyer’s agent;
  (d) obey all lawful instructions of the buyer;
  (e) fulfill its fiduciary duties of loyalty, confidentiality and of full disclosure of all conflicts of interest that may arise between the buyer’s interests and those of the industry member, sellers or competing buyers;
  (f) not appoint another brokerage to act on behalf of the buyer as sub-agent without the buyer’s prior written consent;
  (g) exercise reasonable care and skill in the performance of the agreement;
  (h) seek out and advise the buyer in a timely manner of available properties in the market area which may meet the buyer’s requirements, including those listed with other brokerages and other available properties known to the industry member;
  (i) take reasonable steps to discover relevant facts pertaining to any property for which the buyer is considering making an offer;
  (j) disclose, in a timely manner, to the buyer all relevant facts known to the industry member affecting a property or transaction;
  (k) advise the buyer to obtain expert advice on matters of importance to the buyer;
  (l) provide, in a timely manner, all offers and counter-offers to and from the buyer even when the property is already the subject of an agreement of purchase and sale;
  (m) keep the buyer fully informed regarding the progress of the transaction;
  (n) disclose to the buyer the existence and terms of any competing offers known to the industry member for a property in which the buyer is interested;
  (o) assist the buyer in negotiating favourable terms and conditions with a seller and in preparing and complying with a legally binding agreement of purchase and sale of the property; and
  (p) comply with the provisions of the Act, Regulations, Rules and Bylaws.
    Oct 1/06
     
Designated Agency
58.1(1) The basic obligations of an industry member who is acting as a designated agent for a seller or a buyer are the same as for an industry member who is in a sole agency relationship with a seller or buyer, as the case may be, and include those obligations that are set out in sections 57 and 58 of the Rules respectively.
(2)
If a situation arises where a brokerage enters into a designated brokerage agreement with a buyer or seller, as the case may be, the brokerage shall;
  (a) establish policies and procedures to protect a client’s confidential information; and,
  (b) establish policies and procedures governing the activities of the brokerage and designated agents registered with the brokerage; and,
  (c) communicate to clients its policies and procedures that ensure that a
designated agent does not communicate any information prejudicial to the
interests of the client to other members of the brokerage, including other
designated agents.
(3)
All designated brokerage agreements must be in writing and must contain the following provisions:
  (a) that the brokerage will designate an agent to serve as sole agent for the seller and will designate other industry members registered with the brokerage to serve as sole agents of any buyers also represented by the brokerage who are interested in the property;
  (b) that if, for any reason, the designated agent ceases to be licensed with the brokerage, the brokerage will designate another member of the brokerage to serve as sole agent for the seller or the buyer, as the case may be;
  (c) that the brokerage will not appoint another brokerage to act on behalf of the seller or the buyer, as the case may be, as a sub-agent without the seller's or buyer's prior written consent;
  (d) that a seller or a buyer, as the case may be, agrees that an agency relationship will exist only with the designated agent and not with the brokerage;
  (e) that a seller or a buyer, as the case may be, acknowledges that the brokerage's responsibilities will be limited to:
    (i) treating the interests of both a seller and a potential buyer of a property in an even handed, objective and impartial manner;
    (ii) ensuring compliance by the designated agent with the brokerage's policies and procedures governing designated agents;
    (iii) supervising the designated agent and support staff to ensure the designated agent fulfills its mandate under the agreement;
  (f) that the brokerage and the designated agent undertake that they have not, and will not, disclose any confidential information concerning the seller or the buyer, as the case may be, to any other member of the brokerage or other person unless:
    (i) authorized by the seller or the buyer, as the case may be; or,
    (ii) required by law;
  (g) that a designated agent's knowledge will not be attributed to the brokerage or any other designated agent of the brokerage;
  (h) that the brokerage's knowledge will not be attributed to any designated agents of the brokerage.
    Council Resolution 2007-3

Transaction Brokerage for Common Law
59(1)
If the situation arises where a brokerage represents a seller with whom it has an agency relationship and a buyer with whom it has an agency relationship is interested in the seller’s property, in order to facilitate the purchase and sale of the property, the buyer and the seller and the brokerage may enter into a written transaction brokerage agreement with respect to that property.
59(2)
The brokerage will provide both the buyer and seller with the opportunity to review the transaction brokerage agreement and to request further information concerning the transaction brokerage agreement and transaction brokerage relationship described in it before signing the agreement.
59(3)
If the parties do not agree to enter into a transaction brokerage agreement, unless otherwise agreed to by the parties the brokerage will continue to represent the party, be it the seller or the buyer, with whom it first entered into an agency relationship and the brokerage will offer the option either:
(a)
to treat the other party as a customer; or
(b)
to recommend the other party to another brokerage.
59(4)
 If the parties authorize the brokerage to enter into a transaction brokerage relationship, the brokerage agreement will indicate how the brokerage will be remunerated and provide that the brokerage will:
 
(a)
treat the interests of both the buyer and the seller in an even handed, objective and impartial manner, including but not limited to, any advice or information given to one party will be disclosed to the other;
(b)
exercise reasonable care and skill in the performance of its mandate under the agreement;
 
(c)
obey the instructions of the buyer and the seller in so far as they are consistent with other terms of the agreement;
 
(d)
perform for the buyer and the seller all necessary facilitation services, that is, services by which the interests of the buyer and seller are met in an even handed, objective and impartial manner without providing confidential advice, advocating on behalf of either the buyer or seller, or using discretion or judgment that benefits the buyer or seller to the prejudice of the other, and as required, the brokerage will:
(i)
assist the buyer and the seller in negotiating a mutually acceptable agreement;
 
(ii)
provide real estate statistics and information on property including all comparable property information available through the listing services or other local databases;
(iii)
provide agreements of purchase and sale, lease or other relevant documents;
 
(iv)
prepare all necessary documents in accordance with the instructions of the buyer and seller;
 
(v)
provide the names of real estate appraisers, mortgage brokers, surveyors, building inspectors, lenders, insurance agents, architects, engineers and the like, but the brokerage will not recommend any particular professional to the buyer or the seller;
 
(vi)
present in a timely manner, all offers and counter-offers to and from the buyer and seller regardless of whether the property is already the subject of a contract;
 
(vii)
convey to the buyer and the seller in a timely manner all information that either wishes to have communicated to the other; and
(viii)
keep the buyer and seller fully informed regarding the progress on the transaction;
(e)
disclose:
(i)
to the buyer, all material latent defects affecting the property known to the brokerage; and
  (ii)
to the seller, all material facts relevant to the buyer’s ability to purchase the property known to the brokerage;
  (f)
ensure that the industry member(s) registered with the brokerage providing services to the buyer and seller under the agreement;
  (i)
comply with the brokerage policies and procedures governing transaction brokerage; and
  (ii)
treat the interests of both the buyer and the seller in an even handed, objective and impartial manner;
  (g)
supervise the industry member(s) of the brokerage and support the staff members providing services to the buyer and seller to ensure that they properly fulfill the agreement;
  (h)
hold all monies received in accordance with the provisions of the Act;
  (i)
not give false or misleading information to the buyer or the seller;
  (j)
not disclose without the informed written consent of the buyer or seller, as the case may be:
  (i)
that the buyer may be prepared to offer a higher price or terms other than those contained in the offer to purchase or the exclusive buyer brokerage agreement;
  (ii)
that the seller may be prepared to accept a lower price or terms other than those contained in the offer to purchase or the exclusive seller brokerage agreement;
  (iii)
the motivation of the buyer or seller for wishing respectively to purchase or sell the property; and
  (iv)
subject to clause (4)(e) above, personal information relating to the buyer or the seller and other information disclosed at any time in confidence by either to the brokerage; and
  (k) not conduct or influence the selection of:
  (i)
an independent inspection of the property for the buyer and will not verify the accuracy or completeness of any information supplied or statements made by the seller concerning the property; or
  (ii)
an independent inquiry into the financial status of the buyer for the seller and will not verify the accuracy or completeness of any financial information supplied by the buyer.
 
Transaction Brokerage for Designated Agency
59.1(1) If the situation arises where a brokerage representing parties in designated brokerage has appointed the same industry member to act as the designated agent for each of the buyer and seller and the buyer is interested in the seller's property, in order to facilitate the purchase and sale of the property, the buyer and seller and the brokerage may enter into a written transaction brokerage agreement with respect to that property.
59.1(2) The brokerage will provide both the buyer and seller with the oppourtunity to review the transaction brokerage agreement and to request further information concerning the transaction brokerage agreement and transaction brokerage relationship described in it before signing the agreement.
59.1(3) If the parties do not agree to enter into a transaction brokerage agreement, unless otherwise agreed to by the parties the brokerage will continue to represent the party, be it the buyer or the seller, with whom it first entered into an agency relationship; and the brokerage will offer the option either:
  (a) to designate another member of the brokerage to represent the other party as sole agent;
  (b) to treat the other party as a customer; or
  (c) to recommend the other party to another brokerage.
59.1(4) If the parties authorize the brokerage to enter into a transaction brokerage relationship, the brokerage agreement will indicate how the brokerage will be remunerated and provide that:
  (a) the brokerage will:
    (i)
ensure that the industry member(s) registered with the brokerage providing services to the buyer and seller under the agreement:
     
(A) Comply with the brokerage policies and procedures governing transaction brokerage; and
     
(B) treat the interests of both the buyer and the seller in an even handed, objective and impartial manner;
    (ii)
supervise the industry member(s) of the brokerage and support the staff members providing services to the buyer and seller to ensure that they properly fulfill the agreement;
    (iii)
hold all monies received in accordance with the provisions of the Act.
  (b)
the designated agent now acting in the capacity of a transaction facilitator will;
    (i)
treat the interests of both the buyer and the seller in an even handed, objective and impartial manner, including but not limited to, any advice or information given to one party will be disclosed to the other;
    (ii)
exercise reasonable care and skill in the performance of its mandate under the agreement;
    (iii)
obey the instructions of the buyer or the seller in so far as they are consistent with other terms of the agreement;
    (iv)
perform for the buyer and the seller all necessary facilitation services, that is, services by which the interests of the buyer and seller are met in an even handed, objective and impartial manner without providing confidential advice, advocating on behalf of either the buyer or seller, or using discretion or judgment that benefits the buyer or seller to the prejudice of the other, and as required the brokerage will:
     
(A) assist the buyer and the seller in negotiating a mutually acceptable agreement;
     
(B) provide real estate statistics and information on property including all comparable property information available through the listing services or other local data bases;
     
(C) provide agreements of purchase and sale, lease or other relevant documents;
     
(D) prepare all necessary documents in accordance with the instructions of the buyer and seller;
     
(E) provide the names of real estate appraisers, mortgage brokers, surveyors, building inspectors, lenders, insurance agents, architects, engineers and the like, but the brokerage will not recommend any particular professional real estate service providers to the buyer or the seller;
     
(F) present in a timely manner, all offers and counter-offers to and from the buyer and seller regardless of whether the property is already the subject of a contract;
     
(G) convey to the buyer and the seller in a timely manner all information that either wishes to have communicated to the other; and
     
(H) keep the buyer and seller fully informed regarding the progress on the transaction;
    (v)
disclose:
     
(A) to the buyer, all material latent defects affecting the property known to the brokerage; and
     
(B) to the seller, all material facts relevant to the buyer's ability to purchase the property known to the brokerage;
    (vi)
not give false or misleading information to the buyer or the seller;
    (vii)
not disclose without the informed written consent of the buyer or seller, as the case may be:
     
(A) that the buyer may be prepared to offer a higher price or terms other than those contained in the offer to purchase or the exclusive buyer brokerage agreement;
     
(B) that the seller may be prepared to accept a lower price or terms other than those contained in the offer to purchase or the exclusive seller brokerage agreement;
     
(C) the motivation of the buyer or seller for wishing respectively to purchase or sell the property; and
     
(D) subject to clause 4(b)(v) above, personal information relating to the buyer or the seller and other information disclosed at any time in confidence by either to the brokerage;
    (viii)
not conduct or influence the selection of:
     
(A) an independent inspection of the property for the buyer and will not verify the accuracy or completeness of any information supplied or statements made by the seller concerning the property; or
     
(B) an independent inquiry into the financial status of the buyer for the seller and will not verify the accuracy or completeness of any financial information supplied by the buyer.
      Council Resolution 2007-3

Customer Status
60(1) If a brokerage:
  (a) acts as the agent of a seller and is requested to assist a buyer in purchasing the seller’s property; or
  (b) acts as the agent of a buyer and introduces the buyer to a seller’s property;
  the buyer or seller for whom the brokerage is not an agent and the brokerage may enter into a customer status acknowledgement.
60(2) Each customer status acknowledgement will provide that the customer has received and read the acknowledgement and has been given the opportunity to request further information and independent advice concerning the acknowledgement and the representation relationships described and that the customer:
  (a) has chosen to forgo any agency representation, together with its advantages, protection and services;
  (b) understands that the brokerage does not owe the customer any agency obligations and, in particular, any fiduciary obligations; and
  (c) understands that the brokerage will not provide the customer with any services that require the exercise of discretion or judgment, the giving of confidential advice, or the brokerage advocating on behalf of the customer.
60(3) Each customer status acknowledgement shall provide that the brokerage’s obligations to the customer are limited to:
  (a) the exercise of reasonable care and skill in relation to activities outlined in this section;
  (b) not negligently or knowingly providing the customer with false or misleading information;
  (c) holding all monies received from the customer in accordance with the provisions of the Act; and
  (d) complying with the provisions of the Act, Regulations, Rules, and Bylaws.
60(4) If the customer is a buyer, the brokerage may:
  (a) provide real estate statistics and information on the property including all comparable property information available through the listing services or other local data bases;
  (b) provide agreements of purchase and sale, lease or other relevant documents and act as a scribe in their preparation in accordance with the instructions of the customer;
  (c) provide the names of real estate service providers, but the brokerage will not recommend any particular service provider to the customer;
  (d) present in a timely manner, all offers and counter-offers to and from the customer regardless of whether the property is already the subject of a contract;
  (e) convey to the seller in a timely manner all information that the customer wishes to have communicated to the seller; and
  (f) keep the customer informed regarding the progress of the transaction.
60(5) If the customer is a seller, the brokerage may:
  (a) provide real estate statistics and information on the property including all comparable property information available through the listing services or other local data bases;
  (b) provide agreements of purchase and sale, lease or other relevant documents and prepare all necessary documents in accordance with the instructions of the customer;
  (c) provide the names of real estate service providers, but the brokerage will not recommend any particular service provider to the customer;
  (d) present in a timely manner, all offers and counter-offers to and from the customer regardless of whether the property is already the subject of a contract;
  (e) convey to the buyer in a timely manner all information that the customer wishes to have communicated to the buyer; and
  (f) keep the customer informed regarding the progress of the transaction.
    Oct 1/06

Forms
60.1 (1)   Subject to the Rules:
    a) The content of the Real Estate Council of Alberta forms contained in Schedule 1 is mandatory for use when industry members trade in residential real estate effective February 4, 2014.
    b) The Consumer Relationships Guide of the Real Estate Council of Alberta contained in Schedule 1 is mandatory for use when industry members trade in residential real estate.
  (2)   If industry members use forms with different content than those set out in section A of Schedule 1, the forms used must contain the mandatory content set out in Schedule 1 which mandatory content must not be directly or indirectly altered by the industry member.
      Council Resolution 2013-1
  (3)   Any forms used by industry members may, in addition to the mandatory content, include additional or supplementary content; however, such additional or supplementary content must not directly or indirectly alter the meaning or effect of the mandatory content and must not alter the obligations or requirements of industry members outlined in the Act or these Rules.
  (4)   Notwithstanding 60.1 (2), upon the initiative and request of a client, an industry member may by hand add to, strikeout or alter any content of the mandatory forms and, if agreed to by all the parties, such change must be clearly indicated on the form and initialled by the client and industry member.
     
Council Resolution 2007-2

Delivery of Documents
61 When an industry member receives an offer or an acceptance of an offer in writing from a party to a trade in real estate, the industry member shall, in a timely manner:
  (a) provide that party with a true copy of that offer or acceptance; and
  (b) deliver a true copy of that offer or acceptance to the other parties to that trade.
    Oct 1/06

Personal Real Estate Trades
62(1) An industry member trading in real estate on the industry member’s own behalf, either directly or indirectly, must disclose in writing:
  (a) to a buyer or seller who is not represented by an industry member:
    (i) any interest, direct or indirect, that he has in the transaction;
    (ii) that the industry member is authorized under the Act;
    (iii) the name of the brokerage with which the industry member is registered;
    (iv) complete details of any negotiations for a further trade of the real estate or the industry member’s interest in it to another person; and
    (v) any information within the knowledge of the industry member that could materially affect the value of the real estate.
  (b) to the industry member representing a buyer or seller:
    (i) that the industry member is authorized under the Act; and
    (ii) the name of the brokerage with which the industry member is registered.
62(2) When any person employed by or associated with a brokerage wishes to acquire an interest in a property that is listed for sale with or managed by the brokerage, the brokerage must immediately:
  (a) disclose to the seller of the property the existence of a conflict of interest;
  (b) disclose to the seller the name of the buyer and the nature of their relationship to the brokerage;
  (c) disclose to the seller any confidential information of the seller that buyer may have already received;
  (d) disclose to the seller who will be representing the buyer with respect to the transaction; and
  (e) provide the seller with an opportunity to seek legal and independent advice.
62(3) Sub-section (2) above applies to a broker, associate broker, associate, director, shareholder, official or an employee of a brokerage or any of their immediate family members.
  Oct 1/06

Guaranteed Sale
63 A real estate broker, associate broker or associate must not advertise, offer or enter into a guaranteed sale agreement except on behalf of the brokerage with which that broker, associate broker or associate is registered.
  Oct 1/06


Continue with Part 2 Division 3 - Mortgage Brokerage Standards

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