Humber/Ontario Real Estate Course 4 Exam Practice

Under what condition can a client waive a protection clause?

1. When a satisfactory inspection determines there are no hazards.

2. If it is explicitly allowed by a written waiver clause in the agreement.

3. The client can waive any clause at any time without conditions.

4. If the agent gives verbal permission for the waiver.

The correct answer is: If it is explicitly allowed by a written waiver clause in the agreement.

A client can waive a protection clause if it is explicitly allowed by a written waiver clause in the agreement. This means that the waiver must be part of the formal documents that outline the terms of the agreement between the client and the agent. A written clause provides legal backing and clarity on the circumstances under which a waiver is permissible, ensuring that all parties involved are aware of and have consented to the change in the terms of the agreement. This understanding is rooted in the need for clear communication and documentation in real estate transactions. Without a written waiver clause, a client does not have the legal ability to unilaterally waive rights or protections. This is to protect both the client and the agent, ensuring that alterations to agreed-upon terms are explicitly acknowledged and documented to avoid misunderstandings later. Other options may suggest varying levels of permission or conditions, but they do not align with the established practices in real estate transactions regarding waivers. For example, a verbal permission from an agent lacks the legal enforceability that a written clause provides. Thus, the presence of a formal, written waiver clause is essential for any waiver of a protection clause to be valid.