Assignment 1 Flashcards
1
Q
- Which of the following statements respecting aspects of the British Columbia civil court system would be considered accurate?
A. The next step for a disappointed litigant in a small claims dispute would be to appeal the small claims court decision to the BC Court of Appeal.
B. A matter brought before the BC Court of Appeal will be settled by a decision delivered by the majority of the judges after they have listened again to all of the evidence.
C. A BC Supreme Court judge can only hear cases involving amounts over $25,000.
D. A litigant can bring his or her case no further than the BC Court of Appeal, unless leave to appeal to the Supreme Court of Canada is granted.
(1) All of the above
(2) B and C only
(3) C and D only
(4) D only
A
- Answer: 4
Appeals from the small claims level are heard in the BC Supreme Court which is not subject to any monetary limitations. At the BC Court of Appeal level, no evidence is reheard, only matters of law are considered. While Small Claims Courts have jurisdiction to hear cases involving monetary amounts up to
$25,000, the Supreme Court has jurisdiction to hear cases involving any amount, including cases for claims of less than $25,000.
2
Q
- After buying her fourth car, Jessie decides that it is time to build a new garage. Although she is not a professional, she is handy with tools and decides to design and build the garage herself. Once the garage is built, Jessie invites her neighbour, Steve, to her house to view her new garage. Steve thinks that the garage is unsightly and demands that she tear it down. Jessie, of course, refuses. That night, Steve drives his car through the garage, destroying months of hard work. Jessie successfully sues Steve and obtains an award of $80,000 for damages. Steve feels that the decision of the court is unfair and refuses to pay it. Which of the following steps may Jessie take?
(1) Jessie can send a writ of execution to Steve and then personally seize and sell enough of his property to pay the judgment.
(2) Jessie can apply to have a garnishing order served on Steve’s employer, ordering the employer to pay all of his wages into the court. She can then apply to have all of the money paid out to her.
(3) Jessie can register her judgment in the land title office against Steve’s title and apply to the land title registrar for a judicial sale of Steve’s property; after the payment of prior charges on title, the proceeds will go towards paying the judgment.
(4) Jessie may do none of the above.
A
- Answer: 4
A writ of execution cannot be issued by the judgment creditor. At the request of the judgment creditor, the court issues a writ of execution to the sheriff, directing the sheriff to seize and sell enough of the debtor’s assets to pay the judgment. Where a third person owes money to the judgment debtor, the plaintiff can obtain that money by means of a garnishing order. However, the plaintiff cannot obtain all of an employee’s wages. Seventy percent of the wages are exempt from seizure. A judgment creditor can register a judgment in the land title office against the debtor’s title, but must apply to a court (not the registrar) for a judicial sale.
3
Q
- Which of the following statements concerning disclosure statements in British Columbia is FALSE?
(1) A disclosure statement must be provided by a developer to a buyer where an offer of sale or lease relates to a time share interest in a development unit.
(2) A disclosure statement must indicate that the purchaser has the right to rescind the purchase agreement by serving written notice of the rescission on the developer.
(3) A disclosure statement must be in the form and include the content required by the Superintendant of Real Estate.
(4) One of the supporting documents which must accompany the disclosure statement is a certificate from a lawyer who is a member of the Law Society of British Columbia confirming that a true copy of the disclosure statement will be delivered to the prospective purchaser or lessee.
A
- Answer: 4
A disclosure statement must be in the form required by the Superintendent of Real Estate but it need not contain a certificate from a lawyer. The other options are all true.
4
Q
- Elaine obtained a judgment against Jerry for $35,000. Several months have passed and Jerry continues to refuse to pay Elaine anything. Which of the following steps is open to Elaine to enforce the judgment?
A. Elaine may register the judgment as a charge on Jerry’s land; this would prevent any sale of it from completing because title to the property could not be transferred until the judgment was satisfied.
B. Elaine may apply to have a garnishing order served on Jerry’s employer, ordering the employer to pay all of Jerry’s wages into court; Elaine could then apply to have that money paid out to her.
C. Elaine may send a writ of execution to Jerry and then personally seize and sell enough of his assets to satisfy the judgment.
D. Elaine may register her judgment in the land title office and apply to the court for a judicial sale of Jerry’s property, the proceeds of which would go towards paying off the judgment, following payment of prior charges.
(1) All of the above
(2) A and B only
(3) C and D only
(4) D only
A
- Answer: 4
A judgment creditor may apply to court for a judicial sale of the land. Registering a judgment against land does not prevent the subsequent sale of the land; garnishment is only available against a portion of a judgment debtor’s wages; and, seizure and sales is not personally effected by a private judgment creditor, but rather through the sheriff’s office.
5
Q
- Donna wishes to obtain her brokerage licence and intends to also be the managing broker of the brokerage. Once she obtains her managing brokers licence, which of the following rights and responsibilities does she have?
A. Donna may employ representatives to work for her brokerage.
B. Each year, Donna must file an accountant’s report specifying that she has properly maintained the brokerage’s books, accounts and other records.
C. The real estate service categories that Donna is permitted to provide will determine the services that her employees are permitted to provide.
D. Donna will be responsible for the acts of the brokerage’s representatives in carrying out their duties as representatives.
(1) All of the above
(2) A and C only
(3) A, B, and D only
(4) B and C only
A
- Answer: 1
All of the options are true.
6
Q
- Which of the following statements is TRUE?
A. The provincial government has exclusive responsibility for such areas as the administration of justice within the province, criminal matters, and education.
B. The federal government has exclusive responsibility over marriage and divorce, postal services and civil rights.
C. The residual power to legislate over areas not specifically covered in the constitution is left with the municipal governments.
D. Where the common law does not provide an answer to a legal question, the courts must then refer to statute law for guidance.
(1) A, B, and C only
(2) A and B only
(3) All of the above
(4) None of the above
A
- Answer: 4
The federal government is responsible for criminal matters. The provincial government is responsible for civil rights. Municipal governments receive their power to legislate from the provincial government, and residual powers not specifically covered in the Constitution are the responsibility of the federal government. To answer a legal question, the courts first look at any relevant legislation. If no legislation exists, the court must then rely on case law alone.
7
Q
- An examination for discovery:
(1) usually takes place before the notice of civil claim is filed so that a person can ascertain whether a cause of action exists.
(2) may be a major factor in the settlement of a dispute.
(3) takes place before a judge, with all parties giving evidence under oath.
(4) is the process under which each party is required to provide all relevant documents to the other party.
A
- Answer: 2
Answer 4 is incorrect because an examination for discovery is different from a discovery of documents. Discovery of documents is the process under which each party is required to provide all relevant documents to the other party. Examination for discovery is a “mini-trial” that takes place between the parties to the dispute and their lawyers. Each party can examine the opposite party under oath, and the evidence is recorded by a court reporter.
8
Q
- Abe, a managing broker, recently hired Vern as a trading services representative for his real estate brokerage. As Abe is wary of incurring any liability for the actions of his representatives, he insists that all of the employment contracts signed by his employees include a condition that Abe is not responsible for their conduct as representatives. An angry client has just filed a legal action against Vern for fraudulent misrepresentation of a property. What will happen to Abe?
(1) He is safe because he has effectively contracted out of any liability.
(2) He is exempt from liability as long as he was not aware of the fraud and did not participate in it.
(3) In addition to his brokerage being vicariously liable for the fraud committed by his employee, Abe may also be disciplined by the Real Estate Council in connection with Vern’s actions.
(4) None of the above statements are true.
A
- Answer: 3
Brokerages will be held vicariously liable regardless of any contractual terms between them and their representatives. A purchaser who has suffered damage because of a representative’s misrepresentation may sue not only the representative, but also the brokerage C even if the brokerage was not aware of the misrepresentation.
9
Q
- Under the Real Estate Services Act, disciplinary action against a licensee normally begins with an investigation by the Real Estate Council. Which of the following statements concerning an investigation to determine if disciplinary action should be taken against a licensee are TRUE?
A. The Real Estate Council may conduct an investigation to determine whether a licensee may have committed professional misconduct or conduct unbecoming a licensee.
B. The Real Estate Council can conduct an investigation only at the request of the Superintendent.
C. At any time during business hours, the Real Estate Council investigator can inspect the records that are located on the business premises of a licensee.
D. A misleading statement in an accountant’s report is not enough to trigger an investigation.
(1) A, B, and C only
(2) A and C only
(3) B and D only
(4) All of the above
A
- Answer: 2
The Real Estate Services Act (s. 37) permits the Real Estate Council to conduct an investigation to determine whether a licensee has committed professional misconduct or conduct unbecoming a licensee. Such investigations can be initiated on the Council’s own initiative or on receipt of a complaint, and could be initiated because of a misleading statement on an accountant’s report (as this falls within the definition of professional misconduct). For the purposes of an investigation, the Act authorizes the Council to inspect the records kept on the licensee’s business premises at any time during business hours.
10
Q
- Xavier has successfully sued Yolanda in the Supreme Court of British Columbia. The court has ordered Yolanda to pay court costs. Which of the following statements is FALSE?
(1) Court costs are always awarded against unsuccessful litigants like Yolanda.
(2) Court costs will only cover some of Xavier’s legal fees.
(3) Court costs are not the same as legal fees.
(4) In general, the possibility of being ordered to pay court costs helps to discourage people from bringing weak cases before the courts.
A
- Answer: 1
Court costs do not automatically get awarded against the losing party, but rather, are awarded at the discretion of the court and may be awarded to either party. Court costs are meant to partially reimburse the legal expenses of the party to whom they are awarded; therefore, they are not the same as legal fees. Court costs discourage people from bringing or defending weak cases before the courts.
11
Q
- Joshua wishes to operate a corner store out of the basement of his Richmond home. However, he is not sure if this would be against the law nor is he sure of who would be responsible for laws governing this situation. When Joshua questions his lawyer, she makes the following correct response.
(1) The matter would be governed by a zoning bylaw created by municipal authorities who derive their power from the federal government.
(2) The matter is governed by the law dealing with equitable rights which puts fairness above all else.
(3) Joshua must deal with municipal authorities, a third level of government which derives its powers from the provincial government.
(4) Joshua should go ahead with his plans as ignorance of the law is a valid defence to any legal action.
A
- Answer: 3
Option (1) is incorrect because the municipal governments derive their power from the provincial governments, not from the federal government. Option (2) is not applicable as this is a municipal matter governed by the relevant legislation. Finally, and of particular importance to you as a future real estate licensee, ignorance of the law is never a defence.
12
Q
- Which of the following statements is TRUE?
(1) An appeal of the Real Estate Council’s decision to discipline a licensee will be heard by the Commercial Appeals Commision.
(2) An appeal of the Real Estate Council’s decision to discipline a licensee will be heard by the British Columbia Court of Appeal.
(3) An appeal of the Real Estate Council’s decision to discipline a licensee will be heard by the Financial Services Tribunal.
(4) A licensee must send notice within 60 days of the decision in order to appeal a decision of the Real Estate Council.
A
- Answer: 3
Under the Real Estate Services Act, decisions of the Council and of the Superintendent can be appealed to the Financial Services Tribunal. This includes a decision by the Real Estate Council to discipline a licensee. To appeal a decision, a party must send notice of appeal to the Tribunal within 30 days of the date of the decision.
13
Q
- Which of the following is a purpose of the Real Estate Services Act?
(1) The Real Estate Services Act aims to ensure that real estate licensees are reasonably competent in providing real estate services.
(2) The Real Estate Services Act aims to ensure that real estate licensees are of good reputation.
(3) The Real Estate Services Act aims to discipline and, where necessary, re-educate real estate licensees if they breach the provisions of the Act.
(4) All of the above are goals of the Real Estate Services Act.
A
- Answer: 4
The overall purpose of the Act is to protect the public and this is achieved in two ways. First, the Act ensures that people wanting to enter the real estate profession (that is, to obtain a real estate licence) must have particular knowledge and be of good character. Second, to ensure that the licensees remain competent, the Act provides disciplinary options to the Real Estate Council for a licensee’s failure to live up to certain standards of performance and ethics. These options include the possibility of an order to take further education or training.
14
Q
- During which one of the stages of the trial process does the plaintiff (or his/her counsel) examine the opposing party under oath?
(1) Pleadings
(2) Discovery
(3) Judgment
(4) Execution
A
- Answer: 2
In discovery, more specifically, examination for discovery, each party is examined under oath by the opposing party (or his/her counsel).
15
Q
- Marie entered into a binding contract of purchase and sale with Joshua to purchase Joshua’s home. Roger, a real estate licensee who had dealt with Marie some months before, called her to tell her about a house he had just listed that suited her needs perfectly. When Marie told him about her prior contract with Joshua, Roger told her that she would be paying far too much, and that she should instead buy his listed property. Marie viewed Roger’s listing, bought it, and refused to complete her deal with Joshua. Which of the following statements are TRUE?
(1) Roger has breached the Real Estate Services Act Rules by inducing Marie’s breach of contract.
(2) It would have been better if Roger had backed off when he heard that Marie had another deal, but he is not responsible for her actions and therefore did nothing wrong himself.
(3) Roger was not acting for Joshua and therefore he need not concern himself with Joshua’s interests.
(4) All of the above are true statements.
A
- Answer: 1
By following Roger’s advice, Marie breached her contract with Joshua. The Act (and the common law) prohibits Roger from inducing someone to breach a contract with one person in order to contract with another person. It is irrelevant that Roger is not acting for Joshua.
