Chapter 9 Code of Ethics

Question 1

Where a licensee who belongs to the local real estate board breaches the rules contained in the Canadian Real Estate Association’s Code of Ethics and Standards of Business Practice:

(1) an action based upon the breach may be brought by an interested party in the federal court.
(2) the appropriate real estate board may discipline the licensee.
(3) the Real Estate Council may discipline the licensee.
(4) no action may be taken as adoption of the Code is voluntary.

Answer 1

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Question 2

Which of the following is a FALSE statement regarding the Code of Ethics of the Canadian Real Estate Association?

(1) The Code stresses that a REALTOR®’s highest duty is owed to his or her client regardless of the nature of the client’s instructions.
(2) All provincial real estate association REALTORS® and regional real estate board REALTORS® are bound to abide by the Code.
(3) The Code resolves conflicts between a REALTOR®’s instructions from a client and the REALTOR®’s responsibility to the community in favour of the interests of the community.
(4) The Code includes the Golden Rule — “Do unto others as you would have them do unto you.”

Answer 2

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Question 3

The purpose of a code of ethics is to:

A. provide guidelines to ensure that human actions are morally fair as well as lawful.
B. replace the rigidity of the legal system for professionals.
C. provide a remedy through the courts to people who have been wronged by a professional.
D. maintain the reputation of the profession in the eyes of the public.

(1) A and D only.
(2) A and B only.
(3) B and C only.
(4) All of the above.

Answer 3

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