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Updates to REBBA 2002 have long been requested by the Ontario real estate industry. Specifically, in the last few years TREB has sought flexible remuneration options for brokerages |
On December 13, 2013, the Stronger Protection for Ontario Consumers Act, Bill 55 was enacted into law. This Act makes changes to the Real Estate and Business Brokers Act, 2002 (REBBA 2002). Updates to REBBA 2002 have long been requested by the Ontario real estate industry. Specifically, in the last few years TREB has sought flexible remuneration options for brokerages.
The two changes are:
- Bill 55 amends REBBA to allow that commission or other remuneration to be a combination of both an amount and a percentage.
- Bill 55 amends REBBA, section 35.1 (2) to require a brokerage acting on behalf of a seller shall retain, for the period of time prescribed, copies of all written offers that it receives to purchase real estate or copies of all other prescribed documents related to those offers.
In practical terms, this means that flexible remuneration can take effect immediately. However, the enactment of Bill 55 does not affect section 35.1 (2) concerning document retention until the regulations have been worked out with the regulator. OREA will work to amend current forms in order to comply with this section without having to keep copies of all offers.
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