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1. Demonstrating a spirit of collaboration

Collaboration between licence holders is the cornerstone of the real estate brokerage practice. It is crucial to the point that the legislator has deemed it necessary to enshrine it in the Real Estate Brokerage Act and its regulations. Collaboration helps ensure public protection and harmonious broker relations.

The Court of Appeal of Quebec has stated as follows on this subject:

39.  Furthermore, it [the Committee] reiterates that collaboration between agents is “the bedrock of the real estate brokerage practice.”

40. In this regard, the Committee is right to insist on the importance of the duty to collaborate between agents. There is no doubt that the collaboration duty between agents, particularly between the listing agent and the collaborating agent, is paramount. This ethical rule, which is in fact codified under section 41 of the Rules of Professional Conduct, as well as alluded to in sections 24 and 43, is fundamental. It contributes as much to the need to avoid conflicts of interest in real estate brokerage, which can bring discredit to the profession and be harmful to the public, as to that of ensuring the fairness of the process for the seller as well as for any buyer interested in presenting an offer. A breach of this duty constitutes unfair and prejudicial conduct towards both the collaborating agent and this agent’s client. Failure to collaborate between agents (listing and collaborating) is a source of inequity and a cause of prejudice. (Reference omitted)1 [End tr.]

Collaboration must be present at every stage of the brokerage practice, from soliciting the brokerage contract to following up on the transaction following acceptance of a promise to purchase.

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Demonstrating a spirit of collaboration, courtesy, respect, good faith and honesty toward other licence holders

In a general manner and at all times, the licence holder must show courtesy and a spirit of collaboration toward other licence holders. He must not commit acts that are derogatory to the honour and dignity of the profession2.

A licence holder must not abuse the good faith of, use unfair practices against, or seek to gain an unfair advantage over other licence holders. He must refrain from falsely claiming that he has a brokerage contract in hand or that an immovable or an enterprise is not available for visiting3.

Also, he must not denigrate or attempt to adversely affect relations between another licence holder and the party he represents, the other parties to a transaction, or other licence holders4.

For example, a licence holder who solicits a brokerage contract must do so without disparaging other licence holders5. If another broker obtains the coveted listing, the licence holder must abstain from engaging with the solicited client to express his disappointment or ask about the reasons for his choice. He must respect the client’s choice to do business with another licence holder.

In addition, he must abstain from expressing an opinion on a transaction completed by another licence holder, unless such an opinion is solicited. Where such is the case, he must give an informed and objective opinion that takes into account all the factors pertaining to the transaction6.

Likewise, the licence holder must not use a Discipline Committee decision or any element brought to his attention or obtained in connection with evidence disclosure for the purpose of causing harm to another licence holder7.

Finally, not only can the seller’s broker not prevent a buyer interested in one of his listings from being represented by a broker of his choice, but he must actually recommend that this buyer enter into a brokerage contract to purchase with another licence holder in order to be represented and have his interests protected.

Last updated on: September 20, 2022
Numéro d'article: 253764