Humber/Ontario Real Estate Course 4 Exam Practice

If a salesperson fails to verify green space, what is the impact?

1. Breaches fiduciary duties

2. Avoids legal repercussions

3. Accurately serves the buyer

4. Exceeds duty of care

5. Instigates formal inquiry

6. Triggers automatic investigation

The correct answer is: Breaches fiduciary duties

The correct answer is that failing to verify green space may breach fiduciary duties. A salesperson has a responsibility to act in the best interests of their client, which includes providing accurate and truthful information. Properly verifying green space is crucial because it directly impacts the value and desirability of a property. If a salesperson neglects this duty, not only can it lead to potential financial losses for the client, but it can also undermine the trust that is essential in the client-agent relationship. The fiduciary duty encompasses loyalty, disclosure, and care, and verifying crucial aspects of a property like green space is part of exercising due diligence. Failing to do so would indicate a lapse in the duty of care expected from a real estate professional. This violation can have significant repercussions for both the client and the salesperson, including legal ramifications or damage to the salesperson's reputation in the industry.