Real Estate Law & Contracts Flashcards
6 cards from real BC Real Estate Trading Services Course practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 6 Real Estate Law & Contracts flashcards as text
Under RESA BC, a real estate licensee who acts as a dual agent must:
Answer: Obtain written consent from both buyer and seller after providing full disclosure
Under RESA and BCFSA rules, a licensee acting as a dual agent (representing both buyer and seller) must provide full written disclosure to both parties and obtain their written informed consent.
Which of the following is an example of 'misrepresentation' by a real estate licensee in BC?
Answer: Stating a property has no basement flooding when the licensee knows it does
Misrepresentation occurs when a licensee makes a false statement of material fact. Stating there is no flooding when they know there is constitutes fraudulent misrepresentation and violates RESA duties.
In BC, 'staking' (or soliciting a listed property) by another brokerage's agent without permission from the listing brokerage is:
Answer: A violation of BCFSA rules on professional conduct
Soliciting another brokerage's client or interfering with their listing without permission violates BCFSA professional conduct rules and real estate board ethics rules.
In BC, what is the effect of registering a Certificate of Pending Litigation (CPL) against a property?
Answer: It alerts prospective buyers and lenders that a legal dispute affecting the property is underway
A CPL (formerly lis pendens) is registered on title to warn the world that there is ongoing litigation affecting the property, effectively clouding the title and making it difficult to sell or mortgage.
Under BC real estate law, 'indefeasibility of title' means:
Answer: Once title is registered under the Land Title Act, it is conclusive and cannot generally be challenged
BC's Torrens system provides indefeasibility: once land is registered under the Land Title Act, the registered owner's title is conclusive and generally cannot be defeated by prior unregistered interests.
Which of the following best describes the Torrens system used in BC land registration?
Answer: The government guarantees registered title, and the register is conclusive evidence of ownership
BC uses the Torrens system where the provincial Land Title Register is conclusive evidence of ownership. The government provides a Land Title Assurance Fund to compensate those who suffer loss due to registration errors.