Humber/Ontario Real Estate Course 4 Exam Practice

Which of the following is NOT a general obligation of a real estate brokerage to a client?

1. Exercise skill and care.

2. Delegate responsibility to others.

3. Negotiate favourable terms.

4. Perform mandate.

5. Provide confidentiality.

6. Return all original documents.

The correct answer is: Delegate responsibility to others.

The correct answer highlights that real estate brokerages have a duty to manage their responsibilities personally and cannot simply delegate them to others. While a brokerage may employ various professionals, ultimately, the brokerage is responsible for the actions taken on behalf of their clients. This is essential because clients entrust brokerages with significant financial and personal decisions, expecting that their interests will be directly handled with expertise, diligence, and accountability. The general obligations of a real estate brokerage include exercising skill and care, negotiating favorable terms, performing the agreed-upon mandate, providing confidentiality, and returning all original documents. These duties are part of the fiduciary responsibilities that brokerages owe to their clients, focusing on trust and integrity in the client-broker relationship. In contrast, delegating responsibility may lead to a lack of oversight and can compromise the level of service and protection intended for the client.