Special Report from Council, February 2005

The December 2004 Special Report to Licensees (available at www.recbc.ca) detailed some of the many changes affecting the real estate industry as a result of the introduction of the Real Estate Services Act and Regulation on January 1, 2005. You will recall that the December Report indicated that section 86 of the Real Estate Services Act authorizes the Council to make Rules respecting licensing and regulating licensees in relation to the provision of real estate services. The first set of Council Rules (made by Order of Finance Minister Colin Hansen) are also posted on the Council’s website. The Rules establish standards in relation to requirements placed on licensees. They are divided into the following ten parts: General; Licensing; General Responsibilities of Licensees; Business Practice; Relationships with Principals and Parties; Dealings with Other Licensees and Unlicensed Persons; Brokerage Accounts and Financial Statements; Brokerage Records; Licensee Exemptions; and Transition. This Special Report to Licensees details the Council Rules and any related policies that the Council has adopted as a result of those Rules. Given the number of Rules, this Report will focus primarily on new Rules that were not covered under the previous Real Estate Act or Council policy, and Rules that reflect requirements under either the previous Real Estate Act or Council policy that has changed.

Part 1 – General

This section of the Rules provides definitions for terms used throughout the Rules. For example, “service agreement”, which is referenced in section 5-1 of the Rules, means “An agreement between a brokerage and a client under which a licensee provides real estate services to or on behalf of the client.” Other defined terms include “family partner”, which is referenced in section 9-2 of the Rules and means “A person who is living and cohabitating with a licensee in a marriage-like relationship, including a marriage-like relationship between persons of the same gender.” Licensees should carefully review the definitions when reading the other sections of the Rules.

Part 2 – Licensing

Part 2 of the Rules deals with licence categories, brokerage relationships and offices, qualification requirements, licences, communications with Council and administrative penalties. When reviewing this Part, licensees will note that under Division 3 “Qualification Requirements” the Council has the ability to waive on the basis of an applicant’s previous knowledge or training, a licensing course, its corresponding exam, or both. With respect to the Applied Practice Course, the Council is now able to issue a temporary licence that is conditional on completing that course within the period specified in the licence. In the event that a licensee does not complete the Applied Practice Course within the specified period, the Council can cancel the licence.

Section 2-9 of the Rules deals with the educational re-qualification requirements of representatives for reinstatement. In this regard, the Council has developed Licensing Policy Statement #1 – Representative’s Education Re-qualification Policy, which is reprinted in full on page 11 of this Report. You will note that the policy essentially mirrors the Council’s former Licence Reissuance Policy for salespersons as found on page 261 of the 5th edition of the Licensee Practice Manual.

At the same time that the Council developed the Policy Statement indicated above, it also developed Licensing Policy Statement #2 – Broker’s Education Re-qualification Policy, which is reprinted in full on page 12 of this Report. You will note that this policy mirrors previous Council policy that allowed an associate broker or managing broker to surrender their licence for up to five (5) years without having to re-qualify for licensing by rewriting the examination.

Section 2-13(2) of the Rules requires that a licensee must apply for licence renewal no later than thirty (30) days before the end of their current licence term. This requirement was also under the former Real Estate Act under section 2 of Regulation 10/85. Section 2-16 of the Rules states that a licensee may voluntarily surrender their licence to the Council in which case it becomes “inoperative” unless and until reinstated by the Council before the end of its term. A licensee that is inoperative must immediately cease to hold themselves out as a licensee (see section 21(1) of the Real Estate Services Act).

Section 2-19 of the Rules requires that a licensee must respond promptly to any inquiry addressed to the licensee by the Council. The response must be in writing and be provided by the date set, unless otherwise permitted.

Section 2-20 of the Rules requires that a brokerage must immediately notify the Council if it is not able to pay its debts as they become due. Section 7-8 of the Council Rules sets out what the Council may require the brokerage to do under these circumstances, including re-establishing the brokerage to a state of solvency.

Section 2-21 of the Rules requires licensees to notify the Council, in writing, if they have been subject to any disciplinary or regulatory proceedings in which the licensee may be, or has been, made subject to a disciplinary sanction in the real estate, insurance, securities, mortgage broker, etc. industries. This section also requires a licensee, or if the licensee owns any business, to notify the Council if there has been a court order or judgment made against the licensee or the business in relation to real estate services, insurance, mortgages or securities or misappropriation, fraud or breach of trust.

Section (d) of this section of the Council Rules requires licensees to inform the Council if they are charged with or convicted of an offence under a federal or provincial enactment or under the law of any foreign jurisdiction with the exception of highway traffic offences resulting only in monetary fines or demerit points or both and charges initiated by a violation ticket. Details of bankruptcy, insolvency or receivership proceedings of a licensee, or any business that the licensee owns, must also be reported. The fundamental difference between what was required previously and what is required under this Rule is that this information must be conveyed promptly to the Council. Licensees must not wait until amending or renewing their licence to report this information. Section 2-23 of the Rules details the amounts for administrative penalties, particulars of which were detailed on page 7 of the December Special Report from Council and also under section 4.7 of the Regulation.

Part 3 – General Responsibilities of Licensees

Section 3-1(1) of the Rules requires that a managing broker must be actively engaged in the management of the brokerage, ensure that the business of the brokerage is carried out competently and in accordance with the Act, Regulations, Rules and Bylaws and ensure that there is an adequate level of supervision for related associate brokers, representatives, and employees who perform duties on behalf of the brokerage. This Rule is very similar to section 9.16 under Regulation 75/61 under the former Real Estate Act.

Section 3-1(2) of the Rules requires that if a managing broker has knowledge of conduct that the managing broker considers may constitute professional misconduct, conduct unbecoming a licensee, improper or negligent conduct in relation to real estate services on the part of a related* licensee or employee February 2005 Special Report to Licensees 4 of the brokerage, the managing broker must take reasonable steps to deal with the matter. * “related” means, (a) in relation to a brokerage, a managing broker, associate broker or representative who is licensed in relation to the brokerage, and (b) in relation to a managing broker, associate broker or representative, the brokerage in relation to which the person is licensed.

Section 3-1(3) of the Rules requires that the managing broker must ensure that the trust accounts and records of the brokerage are maintained in accordance with the Act, Regulations, Rules and Bylaws and ensure proper management and control of documents related to licensing and regulatory requirements.

Section 3-2 of the Rules requires that associate brokers and representatives must promptly provide to their managing brokers copies of all written disclosures under Part 5 of the Rules, provide the original or a copy of all other records in the possession of the associate broker or representative in relation to the provision of real estate services and keep the managing broker informed of the real estate services being provided by the associate broker or representative on behalf of the brokerage. This section also requires associate brokers and representatives to ensure that there is an adequate level of supervision for their employees and others who perform duties on their behalf and to promptly notify the managing broker on learning of conduct as described in section 3-1(2) above.

Part 4 – Business Practices Section

4-3 of the Rules outlines the Rules that apply if a licensee maintains a personal office* from which the licensee provides real estate services. In short, no sign may be placed outside the office or the building in which the office is located that indicates that real estate services are provided from that office. The telephone must not be answered in the name of the related brokerage. For example, the phone could not be answered “ABC Realty” but it could be answered “Joe Smith or Joe Smith of ABC Realty.”

Finally, the licensee must not indicate the personal office address on any real estate advertising or any other records relating to real estate services. * “personal office” in relation to a licensee means an office from which the licensee provides real estate services, other than a related brokerage office, and includes an office that is in the residence of the licensee or any other person.

Section 4-5 of the Rules requires that a licensee must ensure that their licensee name* is clearly indicated in the course of providing real estate services. *Licensee Name — Brokerage (1) The licensee name of a brokerage is, as applicable, (a) the legal name of the brokerage, unless another name is indicated on the brokerage licence under paragraph (b), or (b) the trade name of the brokerage if this has been approved by the Council, has been registered with the Registrar of Companies and is indicated on the brokerage licence. Licensee Name — Individuals (2) The licensee name of a managing broker, associate broker or representative is, as applicable, (a) the legal name or a recognizable short form of the legal name of the individual, unless another name is approved under paragraph (b), or (b) the name that is approved by the Council.
This section also requires that a managing broker, associate broker or representative must clearly indicate the licensee name of their related brokerage in the course of providing real estate services. Section 4-6 of the Rules contains requirements related to advertising. Of particular note is subsection (2), which requires that the licensee name of the brokerage must be displayed in a prominent and easily readable way. It is no longer permissible to have the name of the brokerage in type size so small that it is difficult to read.

Part 5 – Relationships with Principals and Parties

Section 5-1 of the Rules states that unless waived by a prospective client, a brokerage must have a written service agreement if the brokerage is to provide trading services to an owner of real estate in relation to the offering of that real estate for sale or other disposition or if the brokerage is to provide rental property management services to the owner of the real estate.

The written service agreement must be entered into before the brokerage provides any trading or rental property management services. It must be signed by the client and an authorized signatory of the brokerage, and clearly state all terms and conditions of the agreement, including the matters required by this section.

In all cases, a service agreement required under subsection (1) must include the following: (a) the name of the client and the licensee name of the brokerage; (b) the address of the real estate in relation to which services are provided under the agreement; (c) the date on which the agreement is effective; (d) the duration of the agreement; (e) a general description of services to be provided by the brokerage; (f) the remuneration to be paid under the agreement and the circumstances on which it will be payable; (g) provision respecting the use and distribution of personal information.

In the case of service agreements concerning rental property management, the service agreement must, in addition to the information listed above, also include the following: (a) the circumstances under which the contract may be terminated by either or both the client and the brokerage; (b) the scope of the authority of the brokerage or a related licensee when acting on behalf of the owner, including that person’s authority to (i) sign cheques or make disbursements on behalf of the owner, and (ii) enter into contracts on behalf of the owner; (c) the timing, frequency and nature of accounting statements and other records to be provided by the brokerage to the owner; (d) how security deposits, pet damage deposits and other deposits are to be dealt with.

Any amendment of or addition to the terms of a service agreement required under subsection (1) must be in writing and signed by the client and an authorized signatory* of the brokerage. *For the purposes of this section, an authorized signatory of a brokerage must be (a) a related licensee of the brokerage, (b) in the case of a brokerage that is a sole proprietorship, the sole proprietor, or (c) in the case of a brokerage that is a corporation or partnership, a director, officer or partner of the brokerage.

Section 5-2 of the Rules states that if a brokerage provides real estate services under a written agreement, whether or not the agreement is required by section 5-1, the brokerage must deliver a copy to the client immediately on execution of the agreement.

Section 5-3 of the Rules states that before a licensee may sign a contract on behalf of a client, the licensee must have obtained written authorization from the client or the authorized agent of the client. The written authorization required by this Rule may be provided for in the written service agreement or in a separate document.

Section 5-7 of the Rules contains a definition of an “associate” of a licensee that is used in conjunction with various disclosure requirements contained in Division 2 of Part 5 of the Rules. In the case of an individual licensee, it includes a spouse or family partner, a trust or estate in which the licensee, spouse or family partner has a beneficial interest or serves as trustee, and an organization in which the licensee, spouse or partner has at least a 5% interest. Similar provisions apply where the licensee is a brokerage.

Section 5-8 of the Rules requires that disclosures under Division 2 of Part 5, except those made with respect to ‘agency disclosure’, be in writing and separate from any agreement giving effect to a trade in real estate. It further requires a licensee to disclose changes to substantive information that the licensee is required to disclose. The requirement to make disclosures in writing must be complied with as soon as practicable, but in any event by no later than July 1, 2005.

Section 5-9 of the Rules replaces section 38 disclosures under the Real Estate Act. Disclosure is now required when a licensee is acquiring or disposing of an interest in real estate. This includes where a licensee is acquiring or disposing of an interest in real estate by way of rental. A new ‘Disclosure of Interest in Trade’ form has been adopted by the Council and is available on the Council’s website (www.recbc.ca). When disclosing with respect to an acquisition, a licensee may use either the previous section 38 Notice and Disclosure form or the new Disclosure of Interest in Trade form until June 30, 2005, following which all such disclosures must be made on the new form. Licensees are required to disclose when they are disposing of an interest in real estate as soon as practicable, but in any event this requirement must be complied with, using the new form, no later than July 1, 2005. NOTE: Licensees are no longer required to submit a copy of this disclosure statement to the Council.

A copy must be provided to the person(s) to whom the disclosure is made and to the brokerage by whom the licensee is engaged, and the licensee making the disclosure must retain a copy.

Section 5-10 of the Rules replaces section 36 of the Real Estate Act (agency disclosure). It requires disclosure of the nature of the representation that the licensee will provide to a party, whether the licensee is or expects to provide trading services to another party in relation to the same trade in real estate, whether the licensee expects to receive remuneration from any other person, and the nature of the licensee’s relationship with such other persons.

Section 5-11 of the Rules requires disclosure of the source, amount, and other particulars of remuneration that a licensee anticipates receiving that is not to be paid directly by the licensee’s client. An example would be that a licensee acting as a buyer’s agent is required to disclose any remuneration received that is not paid directly by the buyer. This section also includes the requirement to disclose remuneration a licensee anticipates receiving from recommending to clients other persons who provide real estate related products or services, and remuneration the licensee anticipates receiving from recommending a client to such a person. This Rule clarifies an obligation previously contained in section 9.06 of Regulation 75/61 under the Real Estate Act. The requirement to make these disclosures in writing must be complied with as soon as practicable, but in any event by no later than July 1, 2005.

A feature article with respect to this section of the Council Rules will appear in the February 2005 Report from Council. Section 5-12 of the Rules expands the disclosure requirements of section 5-11 in relation to rental property management services to include the requirement for a licensee to disclose remuneration that the licensee, or an associate of that licensee, anticipates receiving from a 3rd party for expenditures made by or on behalf of a principal. The requirement to make this disclosure in writing must be complied with as soon as practicable, but in any event by no later than July 1, 2005.

Section 5-13 of the Rules contains a definition of ‘material latent defect’. This section requires a licensee to disclose a material latent defect known to that licensee to all parties to a trade in real estate, and requires the licensee to stop providing trading services to a client who instructs that licensee to not disclose a material latent defect. The requirement to make this disclosure in writing must be complied with as soon as practicable, but in any event by no later than July 1, 2005.

Section 5-15 of the Rules describes the circumstances in which money in a brokerage’s trust account that is intended as remuneration for a licensee is to be considered earned for the purposes of authorizing withdrawal under section 31(1) of RESA. If the brokerage holds the money as a stakeholder under section 28 of RESA, it may withdraw money as follows: (a) in the case of a transaction for the leasing of real estate, on the earlier of (i) the date the lease or assignment of lease is submitted to the land title office for registration, (ii) the date the tenant has the right to take possession of the real estate, and (iii) the date the tenant lawfully occupies the real estate; (b) in the case of a transfer that is not registrable in the land title office other than a lease, on the date on which the real estate is transferred; and (c) in any other case, the date on which the documents effecting the transfer are submitted to the land title office for registration.

If in relation to the money that is held, as referred to above, the service agreement establishes a time at which remuneration is earned by the licensee, and that time is later than the time that would otherwise apply under the above section, the money may be withdrawn at the time referred to in the service agreement. It should be noted that money held by the brokerage, other than as a stakeholder, may be withdrawn at any time agreed to in writing by the client or in accordance with the service agreement or other agreement under which the applicable real estate services are provided.

Part 6 – Dealing with Other Licensees and Unlicensed Persons
Licensees will recognize sections 6-1 and 6-2 of the Rules as sections 40 and 41 respectively of the former Real Estate Act.

Part 7 – Brokerage Accounts and Financial Requirements

Section 7-2 of the Rules requires that any commission trust account maintained by a brokerage must be designated as a trust account, both in the brokerage’s records and in the records of the savings institutions holding the account.

This section also specifies that the only money that may be paid into a commission trust account is money that is intended as remuneration for a licensee engaged by the brokerage and paid out of the commission trust account in accordance with section 5-15 of the Rules.

Section 7-4 of the Rules requires that at least one related managing broker must be a signing authority on each trust account maintained by a brokerage. This rule also requires that the managing broker or a person designated by the managing broker must review, date, and initial the monthly trust asset and liability reconciliation under section 8-3 of the Rules.

Section 7-5 of the Rules states that a brokerage must not make any payment out of a trust account if the payment would reduce the amount currently recorded in a trust ledger for the account to a negative balance or the trust ledger to which the payment relates is already in a negative balance. This Rule further requires that, if at any time there is a negative balance, the brokerage must take immediate steps to eliminate the negative balance.

The brokerage must notify the Council of a negative balance immediately, if a related managing broker considers that the negative balance may result in a person having a claim of a compensable loss in relation to the brokerage; in any other case, within ten working days after the negative balance arises, unless the brokerage is able to eliminate the negative balance in that time.

Section 7-8 of the Rules states that where a brokerage notifies the Council that it is not able to pay its debts, that there is a negative balance in a trust ledger for a trust account, that the brokerage’s current liabilities exceeds its current assets or the brokerage’s total liabilities exceed its total assets, or the Council has some concern about the brokerage as a result of a review of the brokerage’s accounts, the Council may require the brokerage to do one or more of the following: (a) explain why the shortage or other deficiency arose; (b) pay money into a trust account to cover a shortage in the trust account; (c) re-establish the brokerage to a state of solvency; (d) provide a bond or other form of security.

Part 8 – Brokerage Records

Section 8-3 of the Rules requires that a monthly trust liability and asset reconciliation must be prepared in a timely fashion but no later than five weeks after the monthly cut-off date for the account. Where brokerages pay out licensee remuneration from their brokerage trust account, separate ledgers must be maintained to clearly identify trust funds received from members of the public and licensee remuneration.

Section 8-7 of the Rules requires that after the termination of a rental property management services agreement, the brokerage must (a) continue to prepare and must retain all financial records relating to the services provided by the brokerage to the former client that are required under sections 8-1, 8-2, and 8-3 of the Rules; and (b) retain all records under section 8-6 of the Rules relating to services provided by the brokerage to the former client.

This section also requires that with respect to the transfer of rental property management records (a) in the case of financial records, copies of the records must be provided to the client or the new management brokerage within 14 days after the last reconciliation of bank statements to the cash record is completed under section 8- 2(c) of the Rules; (b) in the case of records, the originals of the records must be provided within 14 days of the request, but the brokerage must retain copies.

Section 8-10 of the Rules requires that records must be retained by a brokerage for at least seven years after their creation unless a shorter period is authorized in writing by the Council. This is an increase from the Council’s former policy of requesting brokerages to keep books and records for six years. In addition, the records must be made available at the head office of the brokerage for the purposes of a review by the Council.

Part 9 – Licensee Exemptions

Section 9-1 of the Rules creates an exemption for a managing broker, associate broker, or representative who provides rental property management services on their own behalf in relation to their own real estate. In essence, this rule states that RESA and the Council Rules do not apply to the licensee in relation to these rental property management services so long as the licensee (a) provides these services in their own name and not in the name of their related brokerage; (b) does not in any real estate advertising with respect to the rental real estate, indicate the name, address, or phone number of their related brokerage or any place where the licensee is engaged in their capacity as a licensee; (c) discloses to each potential tenant of the rental real estate promptly but in any event before the person enters into a tenancy agreement, that (i) even though they are licensed under RESA, they are not acting as a licensee in this case, and (ii) the licensee is not regulated under RESA in relation to the rental real estate.

Section 9-2 of the Rules creates essentially the same exemption to a licensee who provides rental property management services to or on behalf of their spouse, family partner, son, daughter, or parent provided in relation to rental property owned by the spouse, family partner, son, daughter, or parent and not provided for or in expectation of a fee. The licensee must comply with the requirements described in the preceding paragraph and must disclose in writing to the spouse, family partner, son, daughter, or parent before providing the services that even though they are licensed under RESA, they are not acting as a licensee when performing the services and that the licensee is not regulated under RESA in relation to the rental real estate.

Part 10 – Transition

Section 10-1 of the Rules states that an unrestricted licence under the former Real Estate Act is deemed to be a licence to provide trading services and rental property management services. Section 10-4 of the Rules provides a July 1, 2005 implementation date for sections 5-1 and 5-9(3) of the Rules and for disclosures under section 5-8(1) of the Rules in relation to disclosures under sections 5-11, 5-12, and 5-13.

Section 31 of the Real Estate Services Act (RESA) and section 7-2 of the Council Rules stipulate how remuneration owing to a licensee engaged by a brokerage is to be paid to that licensee. Section 5-15 of the Council Rules determines when remuneration is earned for the purposes of payment to licensees.

The Council has developed this policy statement in order to assist brokerages in determining how related licensees are to be paid depending on the nature of their remuneration and how they are engaged by their related brokerage.

1. Licensees Receiving Remuneration in the Form of Commission Licensees who receive remuneration in the form of commission must, in accordance with section 31(2)(b) of RESA, be paid from either (1) the brokerage’s trust account, or (2) the brokerage’s commission trust account.

In the event that the brokerage advances remuneration to the licensee in the form of a commission advance or the payment of expenses, and once the remuneration is earned in accordance with section 5-15 of the Council Rules, the brokerage may then deduct its share of the remuneration, including these advances, from the total remuneration. This amount may then be paid into the brokerage’s general account. The remaining net share of the remuneration that is payable by the brokerage to the licensee must then be paid, at the brokerage’s option, either directly out of the brokerage’s trust account to the licensee, or into a commission trust account and, from that account, to or on behalf of the licensee.

A commission trust account must be used in instances where the licensee is responsible for making remittances such as GST and income tax, but the brokerage has agreed to make these remittances on behalf of the licensee. In this instance the ‘net share of the remuneration’ that is payable to the licensee includes the amounts that are to be remitted on behalf of the licensee. This net share must first be transferred from the brokerage’s trust account into the brokerage’s commission trust account. The brokerage may then make these remittances on behalf of the licensee, and pay the remaining balance to the licensee, out of the commission trust account.

2. Licensees “Employed” by a Brokerage and Remunerated by Regular and Periodic Wages

Brokerages who employ licensees (including representatives, associate brokers, or managing brokers) and who pay these licensees on a periodic and regular basis (e.g. hourly, weekly, bi-weekly, monthly, or yearly), may pay these wages from the brokerage’s general account, as this remuneration is not dependent on any one trade in real estate or any one service agreement, such as a rental property management services agreement. It will be paid to the licensee irrespective of the number of trades in real estate or service agreements. The licensee’s remuneration is therefore not directly related to money that is held in the brokerage trust account.

Any bonuses that are to be paid to the licensee may also be paid from the brokerage’s general account, provided that the bonus is not based on any trade in real estate or specific service agreement, but rather at the brokerage’s discretion. Bonuses or commissions based on one or more trades in real estate, or one or more service agreements, may not be paid out of the brokerage’s general account. They must be paid from the brokerage’s trust account or commission trust account. Under this scenario, the licensee could still receive their wage remuneration out of the brokerage’s general account but the bonus must be paid from either the brokerage’s trust account or commission trust account.

Licensees requiring further clarification with respect to the payment of commissions should contact the Council office.

APPLICATION FOR REINSTATEMENT WITHIN LICENSING PERIOD Section 2-9 [education re-qualification on reinstatement] of the Council Rules applies to a representative licence that has become inoperative under section 22(1) [person ceases to be engaged by brokerage] of the Act, been suspended under section 116(4) [person fails to provide required security] of the Act, or been voluntarily surrendered to the Council.

In order to have the licence reinstated, an applicant who has less than 5 years of continuous licensing at some time before the licence became inoperative, was suspended or was surrendered must meet the requirements of section 2-8(1)(b) [pre-licensing examinations] and section 2-8(2) [applied practice course] of the Council Rules.

However, section 2-7(3) [waiver of educational requirements] of the Council Rules states that the Council may waive, on the basis of an applicant’s previous knowledge or training, some or all of the requirements in relation to a course, a corresponding exam, or a course and its corresponding exam.

APPLICATION FOR RE-LICENSING OUTSIDE OF LICENSING PERIOD

An applicant for a new representative licence who has previously been licensed as a representative is required to meet the requirements of section 2-8(1)(b) [pre-licensing examinations] and section 2-8(2) [applied practice course] of the Council Rules. However, section 2-7(3) [waiver of educational requirements] of the Council Rules states that the Council may waive, on the basis of an applicant’s previous knowledge or training, some or all of the requirements in relation to a course, a corresponding exam, or a course and its corresponding exam.

POLICY RESPECTING WAIVER OF EDUCATIONAL REQUIREMENTS

An applicant for reinstatement or re-licensing who has been previously licensed will not be required to complete the applicable prelicensing course, but may have to rewrite the applicable licensing examination or retake the applicable applied practice course.

Requests for extensions of up to one (1) year to an individual’s re-qualification date will be considered by Council staff. Extensions based on medical grounds must be supported by a medical certificate. Individuals who go beyond their re-qualification date are required to requalify for licensing by re-writing the appropriate examination and completing the applicable applied practice course. If, after reviewing the policy, you are unsure of how it applies in your own case, please provide a written request to the Council for that information. Only written requests will receive a response.

BROKER’S EDUCATION RE-QUALIFICATION POLICY FOR RELICENSING AS A MANAGING OR ASSOCIATE BROKER

An applicant for a new managing broker’s or associate broker’s licence who has been previously licensed as a managing broker or associate broker is required to meet the requirements of section 2-8(4) [educational requirements for managing broker and associate brokers] of the Council Rules. However, section 2-7(3) [waiver of educational requirements] of the Council Rules states that the Council may waive, on the basis of the applicant’s previous knowledge or training, some or all of the requirements in relation to a course, a corresponding examination, or a course and its corresponding examination. The Council will waive the requirements in relation to a course or examination if the applicant has been unlicensed for less than five (5) years immediately preceding the date of application. An applicant who has been unlicensed for five (5) or more years immediately preceding the date of application will be required to successfully pass the Broker’s Licensing Course examination.

BROKER’S EDUCATION RE-QUALIFICATION POLICY FOR RELICENSING AS A REPRESENTATIVE.

An applicant for new representative licence who has been previously licensed as a managing broker or associate broker and has been unlicensed for five (5) or more years immediately preceding the date of application is required to meet the requirements of section 2-8(1)(b) [pre-licensing examinations] and section 2-8(2) [applied practice course] of the Council Rules. However, section 2-7(3) [waiver of educational requirements] of the Council Rules states that the Council may waive, on the basis of the applicant’s previous knowledge or training, some or all of the requirements in relation to a course, a corresponding examination, or a course and its corresponding examination.

The Council will waive the requirements in relation to a course or examination if the applicant has been unlicensed for less than five (5) years immediately preceding the date of application. An applicant who has been unlicensed for five (5) or more years immediately preceding the date of application will be required to either successfully pass the Real Estate Trading Services Licensing Examination or the Property Management Licensing Examination in order to re-qualify for licensing as a representative. In the case of an applicant who rewrites the Trading Services Licensing Examination, completion of the Residential Trading Services Applied Practice Course will be waived if the applicant has previously completed the applied course within two (2) years of the date of relicensing. Applicants who have not completed the Residential Trading Services Applied Practice Course within the two (2) years preceding the date of relicensing will be required to take the Accelerated Residential Trading Services Applied Practice Course.