C-73.2, r. 2 - Regulation respecting contracts and forms

Full text
chapter C-73.2, r. 2
Regulation respecting contracts and forms
REAL ESTATE BROKERAGE — CONTRACTS AND FORMS
Real Estate Brokerage Act
(chapter C-73.2, ss. 26 and 46).
C-73.2
September 1 2012
Replaced, O.C. 155-2012, 2012 G.O. 2, 673; eff. 2012-07-01; see c. C-73.2, r. 2.1.
CHAPTER I
TERMS AND CONDITIONS OF USE
1. A licence holder must complete a contract, a transaction proposal or a form clearly and legibly.
The licence holder must not use any abbreviation incomprehensible to the parties or leave any ambiguity as to whether certain terms and conditions in the contract, transaction proposal or form apply.
O.C. 300-2010, s. 1.
2. Where a licence holder completes a contract, a transaction proposal or a form by hand, he or she must use ink and write neatly to facilitate reading.
O.C. 300-2010, s. 2.
3. Where a licence holder completes a contract, a transaction proposal or a form using a computer system or a printing system, he or she must use at least 10-point type.
Moreover, in the case of a form, the licence holder must use type that is different from the type used for mandatory particulars or stipulations, so as to enable the parties to easily distinguish the particulars or stipulations from any addition or amendment.
O.C. 300-2010, s. 3.
4. Where a licence holder strikes out an entry in a mandatory particular or stipulation, he or she must have the strikeout initialled by the parties before they sign at the bottom of the form.
O.C. 300-2010, s. 4.
5. The additions or amendments that a licence holder may make to a contract, a transaction proposal or a form must pertain only to the object of the terms and conditions of that contract, transaction proposal or form.
O.C. 300-2010, s. 5.
6. A licence holder must, before having a contract, a transaction proposal or a form that he or she has completed signed, allow the parties to take cognizance of its terms and conditions and, before the signing, provide all the explanations and answers to questions that the parties may ask.
O.C. 300-2010, s. 6.
7. A licence holder must not add anything to, amend or strike out anything from a contract, a transaction proposal or a form after the parties have signed at the bottom of the contract or form.
O.C. 300-2010, s. 7.
CHAPTER II
PARTICULARS AND STIPULATIONS WHICH MUST OR MUST NOT APPEAR IN CERTAIN CONTRACTS, TRANSACTION PROPOSALS OR FORMS
DIVISION I
BROKERAGE CONTRACT
8. A contract referred to in section 23 of the Real Estate Brokerage Act (chapter C-73.2) must set out
(1)  the name and address of the parties in legible script;
(2)  the date of the contract and the address of the place where it was signed;
(3)  the nature of the transaction involved;
(4)  the cadastral designation of the immovable property involved and the address of any building erected thereon, if any;
(5)  if such is the case, its irrevocability;
(6)  if such is the case, its exclusivity;
(7)  the date and time of its expiry;
(8)  the price of sale, purchase, exchange, or, as the case may be, leasing of the immovable property;
(9)  the nature and manner of payment of the broker’s compensation; and
(10)  where applicable, any obligation on the part of the broker or agency to send the particulars of the contract to a multiple listing service or a similar service of a real estate board or of any other agency for the purpose of distributing them to members subscribing to such a service.
O.C. 300-2010, s. 8.
9. A brokerage contract made by a broker acting on his or her own account must include the following particular:
“If the BROKER ceases to carry on brokerage activities on his or her own account to carry them on instead for an agency, (IDENTIFICATION OF THE BROKER’S CLIENT) may elect to continue to do business with the BROKER and to be bound to the agency for which the BROKER will carry on brokerage activities, by sending the broker a notice to that effect. (IDENTIFICATION OF THE BROKER’S CLIENT) is then bound to the agency under the same terms and conditions as those provided for in this contract from the moment the broker begins to act for the agency.
Should such a notice not be sent by the day on which the BROKER begins to carry on brokerage activities for the agency, this contract will be terminated.”.
O.C. 300-2010, s. 9.
10. A brokerage contract made by an agency must include the following particular:
“If the broker mentioned in this contract as the AGENCY’s representative ceases to carry on brokerage activities for the agency to carry them on instead on his or her account or for another agency, (IDENTIFICATION OF THE AGENCY’S CLIENT) may elect to continue to do business with the broker or with the AGENCY in accordance with this contract, by sending the AGENCY a notice stating his or her choice not later than the day on which the broker ceases to carry on activities for the AGENCY.
If (IDENTIFICATION OF THE AGENCY’S CLIENT) elects to continue to do business with the broker, this contract is terminated on the date on which the broker ceases to carry on activities for the AGENCY. (IDENTIFICATION OF THE BROKER’S CLIENT) is then bound to the BROKER or other agency for which the BROKER now carries on activities, as the case may be, under the same terms and conditions as those provided for in this contract.
Should the notice required under the first paragraph not be sent, this contract is terminated.”.
“Except on contrary notice from (IDENTIFICATION OF THE AGENCY’S CLIENT), or should the broker mentioned in this contract as the AGENCY’s representative cease to carry on activities, if the AGENCY ceases to carry on its activities, this contract is terminated on the date on which the agency ceases its activities and (IDENTIFICATION OF THE BROKER’S CLIENT) is then bound to the broker now carrying on activities on his or her account or, as the case may be, to the agency for which the broker now carries on activities, under the same terms and conditions as those provided for in this contract.
In case of notice to the contrary or if the broker completely ceases his or her activities, this contract is terminated on the date on which the AGENCY ceases its activities.”.
O.C. 300-2010, s. 10.
11. A contract referred to in section 23 of the Real Estate Brokerage Act (chapter C-73.2) must not contain a stipulation for automatic renewal.
O.C. 300-2010, s. 11.
12. A contract referred to in section 23 of the Real Estate Brokerage Act (chapter C-73.2) must specify that the licence holder has an obligation to submit to the contracting party every promise to purchase, lease or exchange the immovable in question.
O.C. 300-2010, s. 12.
DIVISION II
PARTICULARS THAT SUPPLEMENT INTENTION
13. Failing a stipulation as to the time of expiry of a contract referred to in section 23 of the Real Estate Brokerage Act (chapter C-73.2), it expires 30 days after its making.
O.C. 300-2010, s. 13.
14. (Omitted).
O.C. 300-2010, s. 14.
REFERENCES
O.C. 300-2010, 2010 G.O. 2, 850