New Rules: Disclosure of Representation in Trading Services

There has been a lot of buzz in the BC Market in the last few weeks about the new DORT Forms (Disclosure of representation in trading services).

This is a reference to a specific new section in a document put out by the Real Estate Council of British Columbia called the “Real Estate Rules”.

These rules are made by the council for anyone who is licensed to trade Real Estate in BC.

As of June 15, 2018, there are changes in Section 5.10 of these rules that have an impact on the way Realtors talk about “Representation”:

Disclosure of representation in trading services

5-10 (1) Before providing trading services to or on behalf of a party to a trade in real estate, a licensee must disclose to the party whether or not the licensee will represent the party as a client.

(2) A disclosure made under subsection (1) must be in a form approved by the council and include the following information:

(a) the duties and responsibilities of licensees to clients and unrepresented parties;

(b) how to file a complaint about a licensee’s conduct.

(3) Unless a licensee solicits or receives information from a party about the party’s motivation, financial qualifications or needs in respect of real estate, a disclosure to the party is not required under subsection (1) when the licensee is only

(a) hosting an advertised open house, or

(b) providing factual responses to general questions from the party.

[07/19/05 deleted “agency” from the heading effective 07/19/05]

[11/15/2017 section repealed and above substituted, effective 06/15/2018]

Disclosure of risks to unrepresented parties

5-10.1 A licensee who makes a disclosure under section 5-10 (1) to an unrepresented party in respect of a trade in real estate while representing a client to that trade in real estate must also disclose, in a form approved by the council,

(a) the risks to an unrepresented party of receiving assistance from the licensee due to the licensee’s duties and responsibilities to the client of the licensee,

(b) the limited assistance that the licensee may provide to the unrepresented party, and

(c) a recommendation that the unrepresented party seek independent professional advice in respect of the trade in real estate.

[11/15/2017 section added, effective 06/15/2018]

 

 

We found this great article which explains things a little better:

https://www.castanet.net/news/Just-Add-Salt/230760/New-rules-for-real-estate

Here is the form itself that you will be asked to review when speaking with any Realtor:

https://www.recbc.ca/pdf/forms/Disclosure-of-Representation-in-Trading-Services.pdf

If you want to hear it straight from the horse’s mouth, here is the link to the Rules:

https://www.recbc.ca/licensee/rules.html#section5-10

If you want to talk about it with us, feel free to reach out! You’ll just need to sign a form first 😉

 

-Vincent Baart, July 11, 2018

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