Unit 2-5: Professional standards Flashcards
Office of the Registrar
Manages RECA’s regulatory functions, licensing process, standards of practice, trust assurance, practice review
Registrar responsible for this office
Trust assurance and practice review
Examine brokerage records and activities to ensure compliance w/ stat obligations, recommend changes
Review purposes
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
Practice reviews (audits)
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
Review selection process
Target brokerages posing greatest risk to public
Participate on regular basis (all brokerages)
High risk brokerages
NSF cheques
Accounting deficiencies
Changes to business model
Results of review findings
Trust monies in accounts
Length of time since practice review
Schedule of practice reviews
Size of brokerage
Fiscal year end
Location
First year of operation
Records time limits
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
Outcomes
Outcomes only discussed w/ broker
Verbal exam of results
Recommendations
Written summary
Ongoing support
Sanctions from results of audit
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)
Review program types
Industry professionals conduct:
Failure to follow RECA standards of practice
Unauthorized activity:
Licensing suitability
Unauthorized trades
Right touch regulation
Approach to compliance and enforcement will be consistent, proportionate, effective, transparent, timely
Focus on providing info, advice, changes
Conduct proceedings
Hearing and appeal processes
Disciplinary sanctions
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
Administrative law
Body of law governing activities of professional organizations in enforcing standards
Natural justice
procedural fairness
- no bias, fair hearing, transparency
RECAs jurisdiction
Are activities of complaint the business of professional?
Reasonable evidence?
Substantial connected with AB
Disposition of the complaint
Dismissed
Advisory note
Letter of reprimand
Admin. penalty
Hearing panel
Advisory note
A sanction
Up to broker to deal with
Letters of reprimand
less serious thing
has an advisory note in past
Administrative penalties
one-two straight forward, potentially serious issues
Hearings
More severe, or repeat offense or failed to cooperate w/ review
Temporary suspension
Either uncooperative or conduct is serious
Withdrawal/lifetime ban
Can apply for withdrawal; proceedings discontinued; leads to lifetime ban
Voluntary termination
when professional requests withdrawal; doesn’t stop proceedings; treated as new applicant if want to come back
Consent agreement
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
3 components of disciplinary process
establish facts
finding of conduct deserving of sanction
order for a sanction
Review by legal counsel
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
Hearing panels
Determine if professional is deserving of sanction
- has 3 members, one is a council mbr
Possible sanctions
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
Appeal of hearing panel decision
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
Appeal to court
30 days of receipt of notice; must serve other party; may also direct trial of questions
Publication of info
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
