The Real Estate Council of Ontario (RECO) is a not-for-profit corporation responsible for administering the Real Estate and Business Brokers Act, 2002 (REBBA 2002) and associated regulations on behalf of the provincial government. Protecting the public interest is its primary mandate, along with by enhanced professionalism and an effective and efficient regulatory framework.
REBBA 2002 contains a framework for:
- registering and regulating brokerages, brokers and salespersons who engage in the trade in or of real estate, including leasehold interests.
- rules of trading
- procedures and programs regarding insurance requirements, continuing education requirements, code of ethics and complaints process
- maximum fines for violations of the Act
In essence, REBBA 2002 affects all corporations, partnerships, sole proprietors, associations or other organizations or entities and their employees that trade in real estate on behalf of others for compensation or reward. REBBA 2002 prohibits a person or corporation from trading in real estate unless they are registered by the Real Estate Council of Ontario (RECO).
A real estate brokerage, broker or salesperson must be registered to carry on business. The regulation sets out requirements for applications for registration and renewal. Registrants would continue to be subject to ongoing obligations concerning matters such as trust accounts. Failing to meet such obligations would be both grounds for refusal of registration or renewal, and also grounds for a proposal to revoke a registration.
If there has been a violation of the code of ethics, a discipline committee is established to hear and determine if a registrant has failed to comply with the code of ethics. If there has been a violation of the code of ethics, then the discipline committee has a number of options. Those options include:
1. Requiring the broker or salesperson to take more educational courses.
2. Require the brokerage to fund additional educational courses for the brokerage; and
3. Impose a fine up to $25,000.
A registrant may appeal the final order of the discipline committee.
If you have concerns about the conduct of a registrant, questions about RECO’s obligations to you or questions about your rights under REBBA 2002, please contact Andrea Kelly.
Andrea Kelly, Lawyer, has extensive experience in wills, trusts, powers of attorney and estate administration matters. She provides clients with a high standard of timely professionalism and expertise, incorporating a very thorough fact finding process. This is quite often enlightening for her clients and facilitates individually tailored services. If you would like to know more, feel free to use the easy contact form or read Andrea’s bio.