Licence Issue and Maintenance

1. Identify brokerage contracts and transaction proposals related to the real estate broker
   • Include co-listings
   • Transaction proposals in progress, whether accepted or not
   • Brokerage contracts of the team, if any

1. Inform clients in writing of their options:
   • Continue with the real estate broker (if applicable)
   • Continue with the real estate agency (another real estate broker will be appointed in the notice)
   • Terminate the brokerage contract

*Standard notice templates tailored to the real estate broker's situation are available

Residential brokerage: WITHOUT A RESPONSE from  the client, the brokerage contract shall be deemed to be terminated on the day the real estate broker ceases to carry out activities for the initial real estate agency.

NOTE

• The documents related to the transaction remain at the real estate agency
• If the client follows the real estate broker:
  • A copy of the record must be forwarded to the new real estate agency or to the real estate broker acting on his own account
• When a change occurs, notify:
  • The real estate broker of the other party 
  • The other stakeholders: notary, building inspector, etc.

1. Identify client referral cases
   
   • Verify where remuneration is indicated but not yet received
   • This may include agreements with:
     • Other real estate brokers
     • Mortgage lenders, etc.

1. Identify any remuneration to be received or to be paid to the real estate broker
2. Pay the real estate broker the remuneration depending on what was agreed with the agency executive officer in their employment contract or prior to their departure

NOTE

The real estate agency has a right to pay remuneration to a real estate broker who no longer acts on its behalf for acts carried out while the broker was representing the agency.

1. Identify the sums held in trust: advances on remuneration or costs
2. Identify the clients to be reimbursed in whole or in part, if the conditions entitling the broker to remuneration were not fulfilled, because no expense had been incurred at the time of termination of the brokerage contract  
3. Transfer the sums to the new trustee when the client chooses to follow the real estate broker

Identify any down payments, security deposits or other sums provided for in the transaction proposals held in trust

1. Identify any down payments, security deposits or other sums provided for in the transaction proposals held in trust
2. Identify the transaction records that will be finalized after the change
3. Transfer the sums to the new trustee: new agency or notary

Commercial brokerage: the security deposit must be remitted to the lessor with the written consent of the parties.

1. Identify any sums held in special trust accounts

1. Identify any investments maturing after the change
2. Cashing in investments before maturity
   • Depending on the agreement:
     • The client may be entitled to the interests stipulated
     • Upon request, the agency reimburses the difference of interest rates
3. For each sum held in trust, the agency must:
   • Obtain the written consent of the parties
   • If applicable, obtain in writing any other change to the agreements between the parties
   • Obtain the written consent of the new licence holder trustee for the transfer of the sums
   • Transfer the investments in special accounts to the general trust account and reimburse the interest to the depositors
   • Transfer, using the appropriate method (electronic transfer, cheque, letter of exchange or transfer slip), the sums in the general trust account to the new trustees or other recipients, in accordance with the agreements and changes made
   • Provide the new trustee with a copy of the records related to the transferred sums
   • Reimburse clients for sums held in trust as advances on remuneration or expenses as soon as the brokerage contracts are terminated
   • Ensure the keeping of records and registers, including making entries in the Register of trust transactions and maintaining all supporting documentation on file
4. Record conservation
   • The real estate agency is responsible for the keeping of records, books and registers and trust accounting:
     • Must ensure that they are complete before the departure of the real estate broker
   • A real estate broker acting on behalf of a real estate agency:
     • Does not keep records
     • Must immediately send all necessary information and documents to the agency

1. Is the cessation of activities temporary or for an extended period?
   
   • This distinction will have an impact on the choice to revoke or suspend the licence
2. Was the agency executive officer informed so that he can plan the departure?
3. Is the real estate broker aware of his right to remuneration?
   
   • The answer can often be found in the employment contract or in a pre-departure agreement, which the real estate broker should review
4. Were clients notified in writing of this change and the options available to them?
5. Were the required information and documents submitted to the real estate agency before departure?
6. Has the licence suspension or revocation application been completed, signed, and submitted to the Certification Department, along with the required fees?
7. When acting on their own account, are real estate brokers fully aware of all the responsibilities involved?