Brian Madigan LL.B., Broker
BRMadigan@iSourceRealEstate.com

RE/MAX West Realty Inc.,
Brokerage
Independently owned and operated

96 Rexdale Blvd. 
Toronto, Ontario 


Phone: 416-745-2300
Toll Free: 1-888-507-0817

 

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Buyer Representation Agreement Explained (Ontario) Part 18 - DECLARATION of INSURANCE

April 16, 2015 - Updated: April 16, 2015

 

Buyer Representation Agreement Explained (Ontario) Part 18 – DECLARATION of INSURANCE

 

Here is the portion of the paragraph dealing with the Declaration of Insurance.

 

DECLARATION OF INSURANCE

 

The broker/salesperson.....................................................................................

                                               (Name of Broker/Salesperson)

hereby declares that he/she is insured as required by the Real Estate and Business Brokers Act (REBBA) and Regulations.

 

...........................................................................................................................

(Signature(s) of Broker/Salesperson)

 

Part 18 review

 

I will break up the paragraph and offer my commentary in “italics” as usual.

 

 

DECLARATION OF INSURANCE

 

This entire provision is contained within a box, so it is very evident.

 

The broker/salesperson.....................................................................................

                                               (Name of Broker/Salesperson)

 

 

The sales professional who will be registered under the Act as either a Broker or a Sales Representative will have insurance. The name is either typed or printed on the Form so that it is legible.

 

 

hereby declares that he/she is insured as required by the Real Estate and Business Brokers Act (REBBA) and Regulations.

...........................................................................................................................

(Signature(s) of Broker/Salesperson)

 

This portion is the actual declaration. A person cannot be registered without insurance. The premium for insurance is paid directly to RECO, the regulator. If it is not paid, then the person will be suspended, and ultimately terminated.

 

If you check on the RECO website, you will be able to determine whether they have insurance. If they are registered, then they have insurance.

 

So what happens if the sales professional you selected fails to renew? Well, that’s simple. You’re stuck with the Brokerage and it will then appoint someone else to look after you. That’s the case unless you included an amendment to the agreement or dealt with this matter in a Schedule.

 

Brian Madigan LL.B., Broker

www.iSourceRealEstate.com

 


Tagged with: buyer representation agreement bra agency explanation declaration insurance ontario law
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Brian Madigan LL.B. Broker

RE/MAX West Realty Inc. Brokerage

Independently owned and operated

96 Rexdale Blvd. , Toronto Ontario,

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