Unit 2-5: Professional standards

Question 1

Office of the Registrar

Answer 1

Manages RECA’s regulatory functions, licensing process, standards of practice, trust assurance, practice review

Registrar responsible for this office

Question 3

Trust assurance and practice review

Answer 3

Examine brokerage records and activities to ensure compliance w/ stat obligations, recommend changes

Question 4

Review purposes

Answer 4

Brokerage books and records
Trust accounts
ACT compliance
Developing procedures
ID & resolve potential problems
Reduce ACT/RULES violations
Integrity of license system
Reduce Assurance Fund claims

Question 5

Practice reviews (audits)

Answer 5

Periodic inspections performed by RECA
Objectives:
1. Serve leadership of brokerage
2. Comply w/ Act and Rules
3. Safeguard licensing
4. Reduce real estate fund claims

Question 6

Review selection process

Answer 6

Target brokerages posing greatest risk to public
Participate on regular basis (all brokerages)

Question 7

High risk brokerages

Answer 7

NSF cheques
Accounting deficiencies
Changes to business model
Results of review findings
Trust monies in accounts
Length of time since practice review

Question 8

Schedule of practice reviews

Answer 8

Size of brokerage
Fiscal year end
Location
First year of operation

Question 9

Records time limits

Answer 9

Brokerage records must be retained for 3 years +
Existing brokerage: last accounting report to present date
New brokerages: practice review covers start of business to present date
Brokerages w/ no monies in trust: may cover up to 3 years

Question 10

Outcomes

Answer 10

Outcomes only discussed w/ broker
Verbal exam of results
Recommendations
Written summary
Ongoing support

Question 11

Sanctions from results of audit

Answer 11

Serious cases: referred to professional conduct review
(recklessness, similar concerns, consequences for public)

Breaches of licensing: referred to office of registrar
(Improper license application, improper affidavit, improper yes to suitability question)

Question 12

Review program types

Answer 12

Industry professionals conduct:
Failure to follow RECA standards of practice

Unauthorized activity:
Licensing suitability
Unauthorized trades

Question 13

Right touch regulation

Answer 13

Approach to compliance and enforcement will be consistent, proportionate, effective, transparent, timely

Focus on providing info, advice, changes

Question 14

Conduct proceedings

Answer 14

Hearing and appeal processes

Question 15

Disciplinary sanctions

Answer 15

Voluntary brokerage resolution: minor issues

Advisory note: goes on file, avoid future issues

Apologize to complainant: more training, education, supervision may be required

Serious cases: full range

Question 16

Administrative law

Answer 16

Body of law governing activities of professional organizations in enforcing standards

Question 17

Natural justice

Answer 17

procedural fairness
- no bias, fair hearing, transparency

Question 18

RECAs jurisdiction

Answer 18

Are activities of complaint the business of professional?
Reasonable evidence?
Substantial connected with AB

Question 19

Disposition of the complaint

Answer 19

Dismissed
Advisory note
Letter of reprimand
Admin. penalty
Hearing panel

Question 20

Advisory note

Answer 20

A sanction
Up to broker to deal with

Question 21

Letters of reprimand

Answer 21

less serious thing
has an advisory note in past

Question 22

Administrative penalties

Answer 22

one-two straight forward, potentially serious issues

Question 23

Hearings

Answer 23

More severe, or repeat offense or failed to cooperate w/ review

Question 24

Temporary suspension

Answer 24

Either uncooperative or conduct is serious

Question 25

Withdrawal/lifetime ban

Answer 25

Can apply for withdrawal; proceedings discontinued; leads to lifetime ban

Question 26

Voluntary termination

Answer 26

when professional requests withdrawal; doesn't stop proceedings; treated as new applicant if want to come back

Question 27

Consent agreement

Answer 27

resolve if there is likely misconduct Includes a statement of agreed facts, admission by professional, costs Can be made during the review, at the time of consent agreement, prior to hearing, agreement without evidence/testimony

Question 28

3 components of disciplinary process

Answer 28

establish facts finding of conduct deserving of sanction order for a sanction

Question 29

Review by legal counsel

Answer 29

file analyzed for provable facts, breaches of legislation Told to professional by executive director If all parties agree, consent agreement drafted goes to hearing panel after

Question 30

Hearing panels

Answer 30

Determine if professional is deserving of sanction - has 3 members, one is a council mbr

Question 31

Possible sanctions

Answer 31

letter of reprimand $25,000 fine for each finding pay investigation and hearing costs suspend/cancel authorization terms, conditions, restrictions educational courses any other order agreed upon

Question 32

Appeal of hearing panel decision

Answer 32

served w/in 30 days of receipt of notice of decision; must serve other party 3 council members and law society member appeal panel: make finding or order; quash, confirm, vary findings, refer back to hearing panel

Question 33

Appeal to court

Answer 33

30 days of receipt of notice; must serve other party; may also direct trial of questions

Question 34

Publication of info

Answer 34

confidential if no discipline taken qualified privilege - no recourse against RECA for publication of info kept on website for 2 years if criminal, police involved