NEW ELEMENTS AND AMENDMENTS TO FORMS · 8 New elements and amendments to forms – Participant’s...

REFERENCE BOOK

NEW ELEMENTS AND AMENDMENTS TO FORMS

Published and produced byOrganisme d’autOréglementatiOn du cOurtage immObilier du Québec 4905 Lapinière Boulevard, Suite 2200 Brossard (Québec) J4Z 0G2

August 2012

Table of contentNew elements and amendments to forms 5

1 Introduction 6

2 Exclusive brokerage contract – Sale of a chiefly residential immovable containing less than 5 dwellings excluding co-ownership 7

2.1 Different types of brokerage contracts to sell ......................................................................................................... 7

2.2 Activity 1: Drafting an Exclusive brokerage contract – Sale of a chiefly residential immovable excluding co-ownership ........................................................................................................................................ 8

2.3 Declarations and obligations of the seller in the brokerage contract to sell .......................................................... 21

3 Annexe RC – Remuneration and Costs 26

3.1 Introduction to the new form .............................................................................................................................. 26

3.2 Difference between remuneration and costs ........................................................................................................ 26

3.3 Activity 2: Annex RC – Remuneration and Costs .................................................................................................. 26

4 Declarations by the seller of the immovable (land and buildings, appurtenances and dependencies) mandatory form 32

4.1 Introduction to the Declarations by the seller of the immovable new form ........................................................... 32

4.2 Activity 3 : Advantages of completing the Declarations by the seller of the immovable form ................................. 33

5 Promise to purchase – Chiefly residential immovable containing less than 5 dwellings excluding co-ownership 34

5.1 Introduction to new Promise to purchase form .................................................................................................... 34

5.2 Activity 4 : Drafting a Promise to purchase – Chiefly residential immovable ........................................................... 34

6 Annex R – Residential immovable 48

6.1 Introduction to the new form .............................................................................................................................. 48

6.2 Promise to purchase conditional upon cancellation of any other Promise to purchase ........................................... 48

6.3 Clause R2.5 Remuneration to agency or broker bound by a Brokerage contract – Purchase – Instructions to the notary ....................................................................................................................................................... 51

7 Amendments form 54

7.1 Introduction to the new Amendments form ......................................................................................................... 54

7.2 Enhancement of the Promise to purchase prior acceptance .................................................................................. 54

8 Use of other new forms 55

Information session 56

1 Information session schedule 57

2 How to use the new forms 58

3 Licence maintenance 60

3.1 Who must complete the training before July 1, 2012 .......................................................................................... 60

3.2 Who may complete the training after July 1, 2012 .............................................................................................. 60

4 Online training for real estate brokers 61

4.1 Description of online training ............................................................................................................................... 61

4.2 Advantages of online training .............................................................................................................................. 61

4.3 Why we chose online training for licence holders ................................................................................................. 61

4.4 Online training structure ...................................................................................................................................... 62

4.5 Access to online training ...................................................................................................................................... 63

4.6 Virtual environment of the online training............................................................................................................ 65

4.7 Caracters and narrative ........................................................................................................................................ 66

4.8 Online training tool interface ............................................................................................................................... 67

4.9 Online training learning activities ......................................................................................................................... 68

5 Roles of the agency executive officer 69

5.1 Preparing brokers for the online training .............................................................................................................. 69

5.2 Online training Learning Management System ..................................................................................................... 69

6 Conclusion of mandatory classroom training 70

Activity Answer key 71

2.2 Activity 1: Drafting an Exclusive brokerage contract – Sale of a chiefly residential immovable excluding co-ownership ....................................................................................................................................................... 72

3.2 Difference between remuneration and costs ........................................................................................................ 73

3.3 Activity 2 : Annex RC – Remuneration and Costs .................................................................................................. 73

4.2 Activity 3: Advantages of completing the Declarations by the seller of the immovable form ................................. 75

5.2 Activity 4 : Drafting a Promise to purchase – Chiefly residential immovable ........................................................... 76

8.0 How other new forms are used............................................................................................................................ 79

Reference guide 80

5New elements and amendments to forms – Participant’s Guide

New elements and amendments to forms

Duration : 4 hours

6 New elements and amendments to forms – Participant’s Guide

1 INTRODUCTION

Forms are an enormous part of the daily work of real estate brokerage licence holders. As of July 1, 2012, new forms will be introduced reflecting updated real estate brokerage practices and integrating sections of the new Real Estate Brokerage Act and the Regulations thereunder.

After completing this session, agency executive officers will be able to help brokers acting for their agency by:

• Providingsupporttobrokersthroughoutthelearningprocess;

• Identifyingmanagementtoolstohelpbrokersintheirlearningprocess;

• Explainingtheamendmentsmadetothenewforms;and

• Demonstratingtheproperuseoftheclausescontainedinthenewforms.

Time Session Schedule

9:00 a.m. Exclusive Brokerage contract – Sale

10:30 a.m. Break

10:45 a.m. Annex RC - Remuneration and Costs

Declarationsbytheselleroftheimmovable

11:30 a.m. Lunch

12:30 p.m. Promise to purchase

Annex R – Residential immovable

Amendments

Other forms

2:00 p.m. End of training session on forms

2:30 p.m. Informationsession

4:30 p.m. End of session

Notes:

A question period will follow each topic covered in this session.Yellow highlights in this manual represent new elements or amendments made to forms.


2 ExCLUSIvE BROKERAgE CONTRACT – SALE OF A CHIEFLy RESIDENTIAL IMMOvABLE CONTAININg LESS THAN 5 DWELLINgS ExCLUDINg CO-OWNERSHIP

2.1 Different types of Brokerage contract – Sale

NAME OF AGENCY OR BROKER

LICENCE NUMBERLICENCE NUMBER

REPRESENTED BY

NAME OF BUSINESS CORPORATION NAME OF BUSINESS CORPORATION

LIAME ,REBMUN ENOHPELET ,TNEMHSILBATSE FO SSERDDALIAME ,REBMUN ENOHPELET ,TNEMHSILBATSE FO SSERDDA

1. IDENTIFICATION OF THE PARTIES

¨ real estate agency ¨ real estate broker acting on his own account ¨ real estate agency ¨ real estate broker acting on his own account

¨ carrying on activities within the following business corporation: ¨ carrying on activities within the following business corporation:

.)”REKORB eht“ ro ”YCNEGA eht“ dellac retfaniereh( .)”REKORB eht“ ro ”YCNEGA eht“ dellac retfaniereh(

NAME, ADDRESS, TELEPHONE NUMBER AND EMAIL OF BUYER 1 AND REPRESENTATIVE, IF APPLICABLE NAME, ADDRESS, TELEPHONE NUMBER AND EMAIL OF BUYER 2 AND REPRESENTATIVE, IF APPLICABLE

.)”REYUB eht“ dellac retfaniereh( .)”REYUB eht“ dellac retfaniereh(

1.1

EVITATNESERPER sih ro 2 REYUB EVITATNESERPER sih ro 1 REYUB

¨ Driver’s licence ¨ Medicare card ¨ Driver’s licence ¨ Medicare card¨ Permanent Resident Card ¨ Passport ¨ Permanent Resident Card ¨ Passport¨ Canadian citizenship card ¨ ¨ Canadian citizenship card ¨

:htrib fo etaD :htrib fo etaD

:ytivitca lapicnirp ro noisseforP :ytivitca lapicnirp ro noisseforP

1.2 If the BUYER is represented, indicate:

Nature of relationship between BUYER 1 and his representative: Nature of relationship between BUYER 2 and his representative:

MANDATORY FORM

EXCLUSIVE BROKERAGE CONTRACT – PURCHASE CHIEFLY RESIDENTIAL IMMOVABLE CONTAINING LESS THAN 5 DWELLINGS

1/5

REFERENCE NUMBER REFERENCE NUMBER

PLACE OF ISSUANCE

RELATIONSHIP TO BUYER (E.G. MANDATARY, LIQUIDATOR OF A SUCCESSION OR BUSINESS CORPORATION)

EXPIRY EXPIRYPLACE OF ISSUANCE

RELATIONSHIP TO BUYER (E.G. MANDATARY, LIQUIDATOR OF A SUCCESSION OR BUSINESS CORPORATION)

The OACIQ publishes forms as part of its public protection mission.© Organisme d’autoréglementation du courtage immobilier du Québec, 2010. No reproduction without written permission. For information: Info OACIQ | Tel.: 450 462-9800 or 1 800 440-7170 | Fax: 450 676-7801 | [email protected] | www.oaciq.com


REPRESENTED BY

YEAR YEARMONTH MONTHDAY DAY

NOTE – This form is to be used when a written brokerage contract is signed with a natural person.

BCP 00001

When to use:

• Tocreateanagreementbetweenanaturalpersonandarealestatebrokerfor a determined period

• Onlyforthesaleofachieflyresidentialimmovablecontaininglessthan5dwellings excluding co-ownership

MANDATORY FORMEXCLUSIVE BROKERAGE CONTRACT – DIVIDED CO-OWNERSHIP

FRACTION OF A CHIEFLY RESIDENTIAL IMMOVABLE HELD IN DIVIDED CO-OWNERSHIP

1/8The OACIQ publishes forms as part of its public protection mission.© Organisme d’autoréglementation du courtage immobilier du Québec, 2010. No reproduction without written permission. For information: Info OACIQ | Tel.: 450 462-9800 or 1 800 440-7170 | Fax: 450 676-7801 | [email protected] | www.oaciq.com

NOTE – This form is be used when a brokerage contract is signed with a natural person.



REPRESENTED BY

NAME OF BUSINESS CORPORATION

REPRESENTED BY






¨ carrying on activities within the following business corporation: ¨ carrying on activities within the following business corporation:


NAME, ADDRESS, TELEPHONE NUMBER AND EMAIL OF SELLER 1 AND REPRESENTATIVE, IF APPLICABLE NAME, ADDRESS, TELEPHONE NUMBER AND EMAIL OF SELLER 2 AND REPRESENTATIVE, IF APPLICABLE

.)”RELLES eht“ dellac retfaniereh( .)”RELLES eht“ dellac retfaniereh(

1.1

EVITATNESERPER sih ro 2 RELLES EVITATNESERPER sih ro 1 RELLES




1.2 If the SELLER is represented, indicate:

Nature of relationship between SELLER 1 and his representative: Nature of relationship between SELLER 2 and his representative:


YRIPXEECNAUSSI FO ECALP EXPIRYPLACE OF ISSUANCE


RELATIONSHIP TO SELLER (E.G. MANDATARY, LIQUIDATOR OF A SUCCESSION OR BUSINESS CORPORATION) RELATIONSHIP TO SELLER (E.G. MANDATARY, LIQUIDATOR OF A SUCCESSION OR BUSINESS CORPORATION)

BCD 00001

When to use:

• Tocreateanagreementbetweenanaturalpersonandarealestatebrokerfor a determined period

• Onlyforthesaleofachieflyresidentialimmovablecontaininglessthanfivedwellingsheld in divided co-ownership

MANDATORY FORMEXCLUSIVE BROKERAGE CONTRACT – UNDIVIDED CO-OWNERSHIP

SHARE OF A CHIEFLY RESIDENTIAL IMMOVABLE HELD IN UNDIVIDED CO-OWNERSHIP


NOTE – This form is to be used when a brokerage contract is signed with a natural person.



REPRESENTED BY


REPRESENTED BY



ADDRESS OF ESTABLISHMENT, TELEPHONE NUMBER, EMAIL ADDRESS OF ESTABLISHMENT, TELEPHONE NUMBER, EMAIL


real estate agency real estate broker acting on his own account real estate agency real estate broker acting on his own account

carrying on activities within the following business corporation: carrying on activities within the following business corporation:

(hereinafter called “the AGENCY” or “the BROKER”). (hereinafter called “the AGENCY” or “the BROKER”).


(hereinafter called “the SELLER”). (hereinafter called “the SELLER”).

1.1 The identity of the SELLER was verifi ed using the following document, for: SELLER 1 or his REPRESENTATIVE SELLER 2 or his REPRESENTATIVE

Driver’s licence Medicare card Driver’s licence Medicare card Permanent Resident Card Passport Permanent Resident Card Passport Canadian citizenship card Birth certifi cate from civil registry Canadian citizenship card Birth certifi cate from civil registry

Date of birth: Date of birth:

Profession or principal activity: Profession or principal activity:




PLACE OF ISSUANCE EXPIRY EXPIRYPLACE OF ISSUANCE



BCU 00001

When to use:

• Tocreateanagreementbetweenanaturalpersonandarealestatebrokerfora determined period

• Onlyforthesaleofashareofachieflyresidentialimmovablepropertyheldinundivided co-ownership

NEW

NEW


2.2 Activity 1: Drafting an Exclusive Brokerage contract – Sale of a chiefly residential immovable excluding co-ownership

Instructions

1.ReadthedetailsofthemeetingbetweenMr.GuyTremblayandtworealestatebrokers,AnthonySmith and Céline Bourassa, on the following pages.

2.Then,completesections1to7oftheExclusive Brokerage contract – Sale of a chiefly residential immovable excluding co-ownership on the blank form included in your activity book.

Information needed to complete Activity 1

Owner Mrs.AnneTremblay,deceasedonMarch29,2012

Liquidator of the successionGuyTremblay,sonofAnneTremblay,PrincipalatQuatre Vents High School.1234 de l’Eau Street, Grandville, Qc, J2G 4L9 819 555-3886 Dateofbirth:1956-06-21 Québecdriver’slicencenumber:TREG210656-07(expirationJune21,2015)

Theliquidatorwantstosellthepropertyquickly:

• Hehirestwobrokerstotakeadvantageofboththeircontactnetworks;• Hewantsthepropertydetailstobedisseminatedtosubscribersofinformationlistingservices;• Heacceptstohavethepropertyadvertisedinthelocalpaper;• Heacceptstohavethepropertyshownduringopenhousevisits.

Seller’s brokersAnthony Smith, real estate brokerLes immeubles aBC inc., Real Estate Agency555 du Parc Street, Grandville, Qc, J2G 1A8 Telephone:819555-2244 [email protected] Broker’s licence number: X1111 Mr. Smith carries on his activities within Les immeubles anthony Smith inc. corporation

Céline Bourassa, real estate broker acting on her own account4037 de la Gare Street, Grandville, Qc, J2G 1C3 819 555-4422 [email protected] Broker’s licence number: Y9999


RemunerationRemuneration to seller’s broker: 6% Remuneration to buyer’s broker: 3% Contract signing date: 2012-07-15 Contract expiry date: 2012-12-30

DescriptionandfeaturesoftheimmovableAddress: 2307 des Églises Street East, Grandville, Qc J2G 1G0 Asking price: $299,000

Property type: Residential Building size: 13.72 x 11.28 m Lot size: 22.55 x 34.44 m Lot area: 776.62 m2

Cadastral description: 3 064 312 (Cadastre of Québec) Zoning: Residential Year built: 1980 Signing of deed of sale: 60 days after PP acceptance Occupancy: 65 days after PP acceptance

Sewage system: Septic tank (no certificate of compliance available) Water supply: Artesian well Equipment: Heat pump (not paid up), central vacuum Leased equipment (monthly): Water heater Parking:Driveway(4) Driveway:Paved Lot: Fenced Close to: Highway, Grandville golf course

Mrs.AnneTremblayhadamortgagewithBanque de chez nous inc.

Inclusions:Inclusionssoldwithoutlegalwarrantyofquality,atthebuyer’srisk,butshallbeinworkingorderupondelivery of the immovable: Clairplus stove, Clairplus refrigerator, Clairplus washer, Clairplus dryer, Clairplus dishwasher, Cyclodust central vacuum.


Thermo +1378 des Laurentides BoulevardSte-Geneviève, Québec J2K 3D8

INVOICE

Attention: Date: 10/06/2011Anne Tremblay Invoice No.: 1002307 des Églises St. EastGrandville (Québec) J2G 1G0450 444-1331

DEsCrIpTION AMOUNT

Leasing of water heater (60-gallon model) $950.00

Installation charge $175.00

Maintenance charge $89.99

sub-total $1,214.99

GsT (5%) $60.75

QsT (9.5%) $121.20

TOTAL $1,396.93

Lease (60 months): $23.28/monthThe monthly amount includes all applicable taxes and charges.This contract is transferable to the new owner in case of sale.

Thank you!


Thermopompes ZYX9 Bal AvenueGrandville, Québec J5R 4L5

INVOICE

Attention: Date: 10/07/2011Anne Tremblay Invoice No: 45895742307 des Églises St. EastGrandville (Québec) J2G 1G0450 444-1331

DEsCrIpTION AMOUNT

Heat Pump model: GX007 $13,589.99

Installation charge $250.00

sub-total $13,839.99

GsT (5%) $692,00

QsT (9.5%) $1,380.54

TOTAL $15,912.53

Instalment sale: $442.01/month (36 months).The monthly amount includes all applicable taxes and charges.This contract is transferable to the new owner in case of sale.

Thank you!


DraftinganExclusive Brokerage contract – Sale of a chiefly residential immovable containing less than 5 dwellings excluding co-ownership

A)Section1:Identificationofthebrokers

Section 29 of the regulation respecting brokerage requirements, professional conduct of brokers and advertising.

MANDATORY FORMEXCLUSIVE BROKERAGE CONTRACT – SALECHIEFLY RESIDENTIAL IMMOVABLE CONTAINING

LESS THAN 5 DWELLINGS EXCLUDING CO-OWNERSHIP





REPRESENTED BY


REPRESENTED BY






¨ carrying on activities within the following business corporation : ¨ carrying on activities within the following business corporation :




1.1











BCS 00001

• Thisclausehastwospacesforbrokeridentification.

• Thecompleteinformationneededtoidentifythepartiesmustbeentered.

• Theterm“BROKER”inuppercasedesignatesthebrokeractingonhisownaccount.

B) Broker carrying on activities within a business corporation

A broker working on his own account cannot have his remuneration paid to a corporation.

Brokers acting for an agency and carrying on activities within a business corporation must meet certain conditions.Theseconditionsaresummarizedinarticleno.120427:Prior conditions and verifications required for brokers to operate within a business corporation and remuneration to be paid to the corporation by the broker’s agency.


Management of records and registers of brokers operating within a business corporation by the agencyEach real estate agency must maintain a register of brokers including name, licence number, and whether the broker operates within a business corporation.

TheregisterofbrokersisavailableviaSynbad at:https://secure.oaciq.com/sites/default/files/article/fichiers/registre-courtiers-20111214-vang.pdf

Each real estate agency must keep a record containing:

• Thecontractbetweentheagencyandthecorporationrepresentedbythebroker;

• Writtenconfirmationofthecompany’sexistencefromacompetentauthority (e.g. registre des entreprises du Québec);

• Namesofallcompanyshareholdersand,foreach,thepercentageofvotingrightsanddividend entitlement attached to the shares they hold.


C) Section 1: Verification of seller’s identity







REPRESENTED BY


REPRESENTED BY










1.1











BCS 00001

2/7

:etacidni ,2 RELLES roF :etacidni ,1 RELLES roF

:emaN :emaN



2. OBJECT AND TERM OF CONTRACT

2.1 The SELLER retains the exclusive services of the AGENCY or the BROKER to market the immovable and obtain an agreement for the sale of the immovable

herein after described. This contract expires at 11:59 p.m. on .

Failing a stipulation as to the date of expiry, this contract shall expire 30 days after its making.

Unless otherwise stipulated in clause 11.1, this contract can be terminated.

3. SUMMARY DESCRIPTION OF THE IMMOVABLE

3.1 The immovable, with building erected or to be erected thereon, if applicable, is designated as follows:

NUMBER STREET CITY PROVINCE POSTAL CODE

CADASTRAL DESCRIPTION

DIMENSIONS AREA

(hereinafter called “the IMMOVABLE”).

4. PRICE AND TERMS OF SALE (PLUS TAXES, IF APPLICABLE)

4.1 The asking sale price is: dollars

($ ).

4.2 The IMMOVABLE ¨ is not subject OR ¨ is subject to the Goods and Services Tax and the Québec Sales Tax. Consequently, any tax that may be imposed as a result of the sale and to be collected by the SELLER, under applicable tax laws shall, upon the signing of the deed of sale, be remitted by the buyer to the SELLER for this purpose.

The SELLER shall inform the AGENCY or the BROKER without delay of the proportion in which the IMMOVABLE is subject to the Goods and Services Tax and the Québec Sales Tax.

4.3 Existing loans:

The costs relating to the repayment of this loan and to the cancellation of any hypothec shall be borne by the SELLER.

The costs relating to repayment include any penalty payable for early repayment.

4.4 INCLUSIONS – Included in the sale are the following items:

which are sold without legal warranty of quality, at the buyer’s own risk, but must be in working order at the time of delivery of the IMMOVABLE.


DATE

¨ m2 ¨ ft2¨ m ¨ ft


BCS 00001

TheseclausescovertheverificationrequirementsundertheRealEstateBrokerageActandtheFinancialTransactionsReportsAnalysisCentreofCanada(FINTRAC).

IfidentityisnotverifiedwhentheBrokeragecontractissigned,thebrokermustgobacktothesellertocheckhis identity and indicate this on an amendments form.

For a succession, clause 1.2 must be partially completed, i.e. the nature of the relationship between the seller and his representative.

For more details, refer to article no. 11822: requirements related to record keeping and client identification.


D)Section3:Summarydescriptionoftheimmovable

2/7


:emaN :emaN












DIMENSIONS AREA




($ ).



4.3 Existing loans:






DATE

¨ m2 ¨ ft2¨ m ¨ ft


BCS 00001

Theexpression“ifapplicable”hasbeenaddedtoallowtheuseofthisformevenifnobuildingiserected on the property (vacant lot).

Thebrokermustchecktheboxtoindicatetheunitofmeasureofthelotdimensionsandarea.Thedimensionscanbeindicatedinmeters(m)orfeet(ft),andtheappropriateboxchecked.Thesameappliestothearea,which can be indicated in square meters (m2) or square feet (ft2).

E)Clause4.2:Immovablesubjecttotaxes

2/7


:emaN :emaN












DIMENSIONS AREA




($ ).



4.3 Existing loans:






DATE

¨ m2 ¨ ft2¨ m ¨ ft


BCS 00001

ThebrokermustindicatewhetherornottheimmovableissubjectinwholeorinparttoGSTandQST by checking the appropriate box.

Thesellermustcheckwithanexpert(e.g.anaccountantorataxexpert)tofindoutwhatportionof theimmovableissubjecttotaxesandprovidethisinformationtothebrokerwithoutdelay.Becausethisis a complex task, calculating the taxable portion is not the broker’s responsibility.

ThebrokermustfilethedocumentcontainingthisinformationintheBrokeragecontractrecord.

Andlast,theprospectivebuyermustbeinformedabouttheproportioninwhichtheimmovableissubject to taxes, as this must be indicated in clause 4.2 of the Promise to purchase.


F)Clause4.4:Inclusions

Section 5 of the regulation respecting brokerage requirements, professional conduct of brokers and advertising

articles 1726 and 1739 of the Civil Code of Québec

2/7


:emaN :emaN












DIMENSIONS AREA




($ ).



4.3 Existing loans:






DATE

¨ m2 ¨ ft2¨ m ¨ ft


BCS 00001

Thebrokermustdeterminewiththesellerwhatitemsthesellerwishestoincludeinthesalewithoutlegalwarranty of quality, at the buyer’s risk, but in working order at the time of delivery of the immovable.

Thebrokermustaskthesellerwhethertheitemsincludedinthesaleareinworkingorderandwhether they will be available for normal use at the time of delivery.

Ifthesellerwishes,hecanincludetheitemsinthesalewithlegalwarrantyofquality.Ifso,thebrokermustcross out the clause and have the changes initialled by the seller and himself, and indicate that a warranty is provided in clause 11.1 (Other declarations and conditions) or in an Annex G.

By specifying this, a buyer who finds a defect of which he was not aware will have no recourse against the seller, unless he can demonstrate that the seller acted in bad faith by voluntarily hiding a defect of which he was aware, or that the item was not in working order at the time of delivery of the immovable.

G) Clause 4.6: Service and leasing contracts


4.5 EXCLUSIONS – Excluded from the sale are the following items:

4.6 Service and leasing contracts on appliances and equipment to be assumed by the buyer:

4.7 Items covered by an instalment sales contract, trial sales contract, sales contract with right of redemption, sales contract with resolutary clause or leasing contract, and obligations of the SELLER to be assumed by the buyer:

5. SIGNING OF THE DEED OF SALE AND OCCUPANCY

5.1 Date or time frame for the signing of the deed of sale:

5.2 Date or time frame for occupancy:

6. INFORMATION LISTING SERVICES

6.1 The SELLER authorizes the AGENCY or the BROKER to send the information contained in this contract and the annexes thereto, without delay and according to generally accepted practices, including all interior and exterior photographs of the IMMOVABLE, to subscribers of information listing services for agencies and brokers such as MLS, Centris, or any similar service listed below:

including for the purpose of marketing the IMMOVABLE and establishing comparables and statistics.

OR

¨ The SELLER acknowledges having been informed of his right to use an information listing service and having waived his right to do so.

6.2 The AGENCY or the BROKER shall begin the marketing of the IMMOVABLE and the performance of this brokerage contract only once the IMMOVABLE is listed on these services, unless written instructions to the contrary given by the SELLER.

7. REMUNERATION (PLUS TAXES)

7.1 The SELLER shall pay to the AGENCY or the BROKER, in the cases provided in 1˚, 2˚, 3˚ and 4˚ of this section, remuneration of:

¨ percent ( %) of the sale price or of the price stipulated in 4.1, in the case provided in 4˚ or

for any transaction involving the SELLER’S share capital;

OR

¨ a lump sum of: dollars

($ );

BCS 00001

Thebrokermustnowidentifyallserviceandleasingcontractsconcerningappliancesthatwillremain in the property and the cost of which will be assumed by the buyer.

Thesellermustprovidethebrokerwithanyserviceandleasingcontracts,asthesecancontaininformation on the contract’s transferability.


H)Clause4.7:Instalmentsalescontract,trialsalescontract,salescontractwithrightofredemption, sales contract with resolutory clause or leasing contract











OR







OR


($ );

BCS 00001

Thebrokermustnowindicatetheitemscoveredbyaninstalmentsalescontract,trialsalescontract,salescontract with right of redemption, sales contract with resolutory clause or leasing contract that are to be assumed by the buyer.

Thesellerandthebrokermustreviewthesalescontractorcontactthemerchanttomakesurethatanyobligations can be transferred to a third party.

I)Section5:Signingofthedeedofsaleandoccupancy











OR







OR


($ );

BCS 00001

ThedateortimeframeforoccupancyandforthesigningofthedeedofsalemustbespecifiedintheBrokerage contract.

Specific dates inform the buyer about the seller’s intention regarding the date or time frame for occupancy andforthesigningofthedeedofsale.Ifyouwrite“tobediscussed”,thePromisetopurchasewillnevermatch the Brokerage contract exactly, which means that the broker would not be entitled to his remuneration.


J)Clause6.1:Informationlistingservices












OR







OR


($ );

BCS 00001

With this clause, the seller authorizes the broker to send the information concerning the immovable to subscribersofinformationlistingservices.Thesellerdoesnothavetoinitialifhechoosestousetheservice.

Inthisspacethebrokermustenterthenamesofallotherinformationlistingservicestowhichlicenceholderssubscribe (there is no need to specify MLS or Centris as they are already mentioned in the clause).

Thebrokermustchecktheboxifthesellerwaiveshisrighttouseaninformationlistingservice.

Thisclausedoesnotconcernadvertisingtothegeneralpublicmadeviawebsitesandnewspapers.Thistype of advertising is covered under clause 9.1 (5) of the same form.


K)Clause7.1:Remuneration(plustaxes)

Section 27 of the real Estate Brokerage act











OR







OR


($ );

BCS 00001

4/7

1. except if no deed of sale is signed through the buyer’s fault, where an agreement concerning the sale of the IMMOVABLE is accepted during the term the deed of sale; or

2. where a promise to purchase conforming to the conditions of sale provided for in this brokerage contract is submitted to the SELLER during the term of this contract and the SELLER refuses it; or

3. where a sale takes place within 180 days following the expiry date of this contract with a person who was interested in the IMMOVABLE during the term of this contract, unless, during this period, the SELLER concluded in good faith with another agency or another broker a contract stipulated to be exclusive for the sale of the immovable; or

4. where the SELLER voluntarily prevents the free performance of this contract.

7.2 Any tax that may be imposed as a result of services rendered by the AGENCY or the BROKER shall be added to the remuneration provided for in this contract and shall be paid by the SELLER to the AGENCY or the BROKER in accordance with applicable tax provisions.

7.3 The SELLER recognizes the AGENCY’s or the BROKER’s right to share its remuneration with another agency or another broker collaborating in the transaction, even though such agency or broker has no link with the SELLER. The AGENCY or the BROKER shall be deemed to have assigned all or part of its claim to a collaborating agency or broker as of the date of acceptance of the agreement for the sale of the IMMOVABLE, all conditions of which having

7.4 The AGENCY or the BROKER shall collaborate with any other agency or broker who so requests, including by sharing its remuneration, according to the following conditions, in order to ensure the successful completion of the transaction referred to in this contract.

In this regard, shared remuneration terms that are unreasonable towards other agencies or brokers could reduce their interest in proposing the IMMOVABLE or enterprise to their clients.

Consequently, in the event where an agency or broker collaborates in the transaction, the AGENCY or the BROKER undertakes to pay, from the sum due to him under this contract:

¨ percent ( %) of the sale price;

OR

¨ a sum of: dollars

($ ).

7.5 The AGENCY or the BROKER shall not claim remuneration from the SELLER in the following cases:

1. if the AGENCY or the BROKER acquires an interest in the IMMOVABLE, or if the broker representing the AGENCY for the purpose of this contract acquires an interest in the IMMOVABLE:

a) for himself; b) for a partnership or legal person controlled by him.

OR

2. if one of the following persons acquires the IMMOVABLE:

a) the married, civil union or de facto spouse of the BROKER or of the broker representing the AGENCY; b) a legal person or a partnership controlled by the married, civil union or de facto spouse of the BROKER or of the broker representing the AGENCY.

8. DECLARATIONS AND OBLIGATIONS OF THE SELLER

8.1 The SELLER declares that:

1. he is the sole owner of the IMMOVABLE or is duly authorized to sign this contract and to accept any agreement for the sale of the IMMOVABLE;2. the IMMOVABLE is not the subject of a brokerage contract with another broker, another agency or of an agreement to sell, exchange or lease it, or of

a pre-emptive right in favour of a third party;3. he is a Canadian resident within the meaning of the Income Tax Act and the Taxation Act and does not intend to change this residence, otherwise the

8.2 During the term of this contract, the SELLER undertakes not to, directly or indirectly:

1. offer the IMMOVABLE for sale on his own or through a person other than the AGENCY or BROKER;2. become party to an agreement for the sale, exchange or lease of the IMMOVABLE other than through the AGENCY or the BROKER.

The OACIQ publishes forms as part of its public protection mission.© Organisme d’autoréglementation du courtage immobilier du Québec, 2010. No reproduction without written permission. For information: Info OACIQ | Tel.: 450 462-9800 or 1 800 440-7170 | Fax: 450 676-7801 | [email protected] | www.oaciq.com BCS 00001

Thenewclause7.1allowsthebrokertoreceivehisremunerationevenifthedeedofsaleisnotsignedundercertain circumstances, i.e. if the seller voluntarily prevents the free performance of the contract or if no deed of sale is signed through the buyer’s fault.

ThebrokerisalsoentitledtohisremunerationwhenaBrokeragecontractsignedwithalegalpersonregarding the sale of assets is performed through the sale of shares. However, this does not constitute an authorization to sell shares.

Ifasaletakesplacewithin180daysfollowingtheexpirydateofthecontractwithapersonwhowasinterested in the immovable during the term of the contract, but the seller concluded with integrity and honesty, with another agency or another broker an exclusive contract for the sale of the immovable, the seller is not required to pay the remuneration to the first broker.


L) Clause 7.5: Cases where no remuneration is required of the seller

Sections 18, 21, 22 and 23 of the regulation respecting brokerage requirements, professional conduct of brokers and advertising

4/7











OR


($ ).




OR










Theagencyorbrokerwillnotclaimremunerationfromtheselleriftheimmovablecoveredbythecontract is acquired:

• Forhimselforviaacompanycontrolledbyhim. He must disclose this to the seller, in writing and without delay, before submitting his transaction proposal,andthenterminatethiscontract(clause9.1(7)oftheBrokeragecontract–Sale);

• Bythespouseofthebrokerorofthebrokerrepresentingtheagency;

• Byalegalpersonorapartnershipcontrolledbythespouseofthebrokerorofthebroker representingtheagency;

• Byapersonotherthanthosementionedinthisclauseandidentifiedinastandardclauseadded to the contract.


2.3 Declarations and obligations of the seller in the Brokerage contract – Sale

A)Clause8.1:Declarationsbytheseller

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OR


($ ).




OR










Thisclausecontainstheseller’sdeclarations.Alldeclarationsconcerningtheimmovablethatappearedunderclause 8.2 of the old mandatory Brokerage contract – Sale form are now included in the Declarations by the seller of the immovable new form.


B)Clause8.3:Documentstobeprovidedbytheseller


8.3 The SELLER shall supply to the AGENCY or the BROKER, as soon as possible, the following documents in his possession: purchase contract and any other title of ownership, inspection report and any other expert report, tax statements and receipts, insurance documents, leases and documents pertaining to the dwellings allowing the income and expenses of the IMMOVABLE to be calculated, documents pertaining to appliances and equipment, deeds of assignment of leases, staking plan, water analysis, soil analysis, environmental report, plan, movable property inventory, service and employment contracts, permit, proxy and, generally, any document concerning the IMMOVABLE, including any that may be required for adjustment purposes at the time of the sale.

8.4 The SELLER shall supply to the AGENCY or the BROKER, as soon as possible, all loan documents pertaining to the IMMOVABLE and the deeds of loan and hypothecary rights, including any penalty related thereto.

8.5 te of the IMMOVABLE and,

8.6 If a portion of the IMMOVABLE is used as a family residence by the SELLER, or if required by his marital status, the SELLER shall remit to the AGENCY or the BROKER, upon request, either a document evidencing his spouse’s consent and, where applicable, his spouse’s concurrence, and an undertaking by the latter spouse to intervene for the same purposes in the notarial deed of sale, or a copy of a judgment authorizing the SELLER to sell the IMMOVABLE without his spouse’s consent and concurrence.

8.7 ompromise the performance of this contract, including concerning his marital status.

8.8 The SELLER gives the AGENCY or the BROKER the exclusive right:

1. to show the IMMOVABLE at any reasonable time, with any appointment being arranged directly with the occupant of the premises. The AGENCY or the BROKER may allow other agencies or brokers to exercise this right in whole or in part;

2. subject to the restrictions set out in 11.1 or any annex forming part of this contract, and subject to any regulations, to use any advertising and any signage he considers appropriate. The AGENCY or the BROKER may allow other agencies or brokers to exercise that right in whole or in part.

8.9 The SELLER shall supply the prospective buyer with a valid title of ownership and with the titles in his possession.

9. OBLIGATIONS OF THE AGENCY OR THE BROKER

9.1 In accordance with generally accepted practices, the AGENCY or the BROKER undertakes;

1. to perform the object of this contract loyally, diligently and competently;

2. to submit to the SELLER, as soon as possible, any written promise to purchase received regarding the purchase, lease or exchange of the IMMOVABLE;

LE;

4. to send to the SELLER without delay a copy of any document containing the information used to describe the IMMOVABLE referred to in this brokerage contract;

5. to perform any normal marketing activity;

6. not to use the word “sold” in any advertising, including advertising on a sign, unless an agreement for the sale of the IMMOVABLE has been that any sign posted on the

IMMOVABLE shall be removed as soon as this contract expires;

7. to inform the SELLER in writing, without delay, of any interest that this AGENCY or this BROKER plans to acquire in the IMMOVABLE referred to in this contract and, before submitting a transaction proposal, to terminate this contract;

8. to inform the SELLER in writing, without delay, that he is also representing the prospective buyer of the IMMOVABLE, for remuneration, where a brokerage contract with the buyer exists;

LLER;

10. to disclose to the SELLER in writing, without delay, the identity of any person or partnership owing him any remuneration in accordance with an agreement disclosed under sub-section 9, the nature of the relationship with such person or patnership, and the nature of the remuneration owed, if

11. to use the information contained in this brokerage contract only in accordance with the terms and conditions stipulated in the contract or by law;

12. to notify the SELLER in writing, without delay, in the following cases:

a) if his licence is suspended or revoked, if he ceases his activities or if he is otherwise unable to continue to act; b) where he is acting as AGENCY, if the broker representing the AGENCY with the SELLER ceases to act for this AGENCY or if the identity of the broker representing the AGENCY with the SELLER changes; c) where he is acting as BROKER, whenever he ceases to act on his own account.

BCS 00001

Thesellermustprovideanydocumentsconcerningtheimmovablethathehasinhispossessionassoon as possible.

Thedocumentslistedinclause8.3arethedocumentsthatthebrokershouldobtaintohavethemostcompleteinformation possible on the immovable.

C) Clause 8.4: Loan documents, deeds of loan and mortgage documents















LE;







LLER;





BCS 00001

Thesellermustprovideanydocumentspertainingtotheimmovableconcerningloans,deedsofloanandmortgages as soon as possible to verify:

• Thebalanceowingonanyloan;

• Anypenaltiesowingifthesellerrepayshismortgagebeforetheendoftheterm.

TheOACIQrequest for information relating to a hypothecary loan form should make it easier for financial institutions to send mortgage loan information.


D)Clause8.5:Certificateoflocation















LE;







LLER;





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Thesellermustprovidethecertificateoflocationassoonaspossibleinordernottodelaythesigningof the Brokerage contract.

Thesellermustsupplyacertificateoflocationreflectinganycadastralrenovation,ifapplicable,anddescribingthe current state of the immovable, especially if any changes have taken place, including the addition of a pool, shed, etc.

Prompt provision of the certificate of location will:

• AllowcompletionoftheDeclarations by the seller of the immovable form;

• Allowforquickidentificationandresolutionofpotentialproblems;

• Reducetheriskoflegalaction.

E)Clause8.6:Documentsregardingconsentbytheseller’sspouse















LE;







LLER;





BCS 00001

Intheeventofasaleorpotentialsale,thebrokermusthavewrittenconsentfromthespouseinthefollowingcircumstances:

• Wherethespousehasregisteredadeclarationoffamilyresidence;

• Whererenderednecessarybythematrimonialregime(suchasthecommunityofproperty);

• Inanyinstancewhereaportionoftheimmovableisusedastheseller’sfamilyresidence.

Thesellermustprovideoneofthefollowingdocuments:

• Signedsection15oftheBrokeragecontract,“Interventionofseller’sspouse”;

• Adocumentevidencingthespouse’sconsentand,whereapplicable,thespouse’sconcurrenceand anundertakingbythelattertointerveneforthesamepurposesinthenotarialdeedofsale;

• Acopyofajudgmentauthorizingthesellertoselltheimmovablewithoutthespouse’sconsent and concurrence.


F) Clause 8.7: Change in the seller’s financial situation















LE;







LLER;





BCS 00001

Thesellermustinformthebrokerofanysituationthatcouldcompromisetheperformanceofthecontract,including:

• Achangeinhisfinancialsituation;

• Achangeinhismaritalstatus;

• Insolvency.

G) Clause 9.1: Obligations of the agency or broker acting on his own account

Sections 31, 32, 33, 34, 36 of the regulation respecting brokerage requirements, professional conduct of brokers and advertising

Section 8 of the act respecting the Protection of personal information in the private sector















LE;







LLER;





BCS 00001















LE;







LLER;





BCS 00001















LE;







LLER;





BCS 00001

A broker wishing to specify the newspapers or websites in which he plans to advertise may do so under clause 11.1(Otherdeclarationsandconditions)oftheBrokeragecontract–Sale.Thebrokerhasanobligationtoinform the seller in writing, without delay, of any remuneration agreement that could conflict with the seller’s interests.

Thebrokermustdisclosetotheseller, in writing and without delay, the identity of any person or partnership owing him any remuneration in accordance with an agreement disclosed under sub-section 9, the nature of the relationship with this person and the nature of the remuneration owed, if it is a non-monetary benefit.

ThebrokerhasanobligationtousetheinformationcontainedintheBrokeragecontractonlyinaccordancewith the terms and conditions stipulated in the contract or in the Act.


H) Clause 12.1: Annexes to the Brokerage contract – Sale

Sections 10 and 17 (8) of the regulation respecting contracts and forms


The AGENCY or the BROKER acknowledges having read, understood and agreed to this contract, including any Annexes thereto, and having received a duplicate thereof.

, ni dengiS

on , at : .

SIGNATURE OF AGENCY OR BROKER

, ni dengiS

on , at : .

SIGNATURE OF AGENCY OR BROKER

The SELLER acknowledges having read and understood this contract, including any Annexes thereto, and having received a duplicate thereof.

, ni dengiS

on , at : .

SIGNATURE OF SELLER 1 OR HIS REPRESENTATIVE

, ni dengiS

on , at : .

SIGNATURE OF SELLER 2 OR HIS REPRESENTATIVE

INTERVENTION OF SELLER’s SPOUSE – The undersigned declares to be the spouse of the SELLER and to consent to and, where applicable, concur in the acceptance of this contract, including any Annexes thereto.

, ni dengiS

on , at : .

SIGNATURE OF SELLER’s SPOUSE

12. ANNEXES

12.1 The provisions set forth in the Annex Declarations by the seller DS - and those set forth in the Annexes i ed below form an integral part of this contract:

General Annex AG- Remuneration and Costs Annex RC- Other(s):

13. INTERPRETATION

13.1 Unless the context dictates otherwise, the masculine form includes the feminine and neutral forms and vice versa, and the singular includes the plural and vice versa.

13.2 This contract and the performance thereof are governed by the laws of Québec.

14. CONCILIATION, MEDIATION AND ACCOUNT ARBITRATION

14.1 In case of dispute between the AGENCY or the BROKER and the SELLER, the Organisme d’autoréglementation du courtage immobilier du Québec may act as conciliator or mediator upon request by the parties. The OACIQ may also arbitrate accounts between the AGENCY or the BROKER and the SELLER.

15. SIGNATURES

The parties have requested that this form and all related documents be drawn up in English only. Les parties aux présentes ont exigé que le présent formulaire et tous les documents qui s’y rattachent soient rédigés en anglais seulement.

Section 28 of the Real Estate Brokerage Act (R.S.Q., c. C-73-2) “28. Despite any stipulation to the contrary, the client may terminate the contract at the client’s discretion within three days after receiving a duplicate of the contract signed by the two parties, unless the client has written in its entirety and signed a waiver.

The contract is terminated by operation of law as of the sending or delivery of a written notice to the BROKER or to the AGENCY.”

DATE

DATE

DATE

DATE

DATE

BCS 00001

Clause 12.1 is used to enter the numbers of the forms that must or may be annexed to the residential Brokeragecontract–Sale.ThereferencetotheDeclarations by the seller of the immovable and annex – remuneration and Costs forms has been added.

Please note that the broker must complete the Declarations by the seller of the immovable form and annex it to the Brokerage contract – Sale.

I)Conciliation,mediationandaccountarbitration



Thisclausehasbeenadded;itspurposeistofulfillthebroker’sobligationtoinformthesellerthatintheeventof a dispute, he may avail himself of conciliation, mediation or arbitration services.

AconsumeroralicenceholdermayseekhelpfromtheOACIQAssistanceDepartmentifhebelievesanoffencehasbeencommitted.TheOACIQAssistanceDepartmentwillreviewthedisputeanddecidehowitwill be handled.

TorequesthelpfromtheOACIQtherequest for assistance form must be completed with all the facts. ThisformcanbefoundontheOACIQwebsiteat:

https://secure.oaciq.com/sites/default/files/request-assistance-letter-20120120.pdf


3.1 Introduction to the new form

1. REFERENCE TO PRINCIPAL FORM

The conditions set out in this Annex form an integral part of BC -

2. SUPPLEMENTAL REMUNERATION AND COSTS

IN THIS SECTION, ONLY THE CONDITIONS IDENTIFIED BY A CHECK MARK FORM AN INTEGRAL PART OF THIS ANNEX.

¨ 2.1 – REMUNERATION (PLUS TAXES) ¨ The SELLER or the LESSOR ̈ the BUYER agrees to pay the following remuneration, as a supplement to the section entitled “remuneration (plus

taxes)” of the contract referenced in section 1:

This remuneration shall be due to the AGENCY or the BROKER once the appropriate services have been rendered.

¨ 2.2 – COSTS ¨ The SELLER or the LESSOR ̈ the BUYER agrees to pay the following costs, once incurred, as a supplement to the section entitled “remuneration

(plus taxes)” of the contract referenced in section 1:

3. ADVANCE ON REMUNERATION OR COSTS

¨ The SELLER or the LESSOR ̈ the BUYER shall pay an advance on remuneration or costs of: dollars

($ ) upon the signing of the brokerage contract referenced in section 1. Such advance on remuneration or costs shall be deposited without delay in the general trust account of the AGENCY or the BROKER. This sum may be withdrawn only once the services have been rendered or the costs have been incurred, and invoiced or sent in writing to or accepted by the SELLER, the LESSOR or the BUYER, as the case may be.

Should the brokerage contract be terminated or expired, the AGENCY or the BROKER shall immediately reimburse the SELLER, the LESSOR or the BUYER for any sum received as advance on remuneration or costs in excess of the amount due.

4. INITIALS (ALL COPIES MUST BE INITIALLED)

MANDATORY FORM

ANNEX RC – REMUNERATION AND COSTS


NOTE – This form is to be used, where applicable, to supplement the section “REMUNERATION (PLUS TAXES)” of the mandatory brokerage contract form for the sale of a residential immovable.

BUYER 1, SELLER 1 OR LESSOR 1 BUYER 2, SELLER 2 OR LESSOR 2 AGENCY 1 OR BROKER 1 AGENCY 2 OR BROKER 2

RC 00001

Realestatebrokeragebusinesspracticesareevolving.TheActnowallowsbrokerstoreceiveremunerationusingmethodsotherthanthoseoutlinedinthemandatoryBrokeragecontractform.Thisnewformismandatory if the broker is asking for additional remuneration or costs, or if an advance on remuneration or costs is required.

3.2 Difference between remuneration and costs

Which of the following statements is true? Read the statements and circle your answer.

A) Costs are fees that involve the broker’s work, and remuneration represents the broker’s salary.

B) Costs are expenses that do not involve the broker’s work, and remuneration is the sum paid for work performed by the broker.

3.3 Activity 2: Annex RC – Remuneration and Costs

1. Read the following regarding the meeting between Mr. Laurendeau, real estate broker, and his client.

2. Thencompletethenewannex rC – remuneration and Costs form included in your activity book.

3 ANNEx RC – REMUNERATION AND COSTS


Scenario

{ {INCLUDED IN BASIC

MARKETING PACKAGEADDITIONAL

FEES

...

...1x

2x

OPENHOUSEOPEN

HOUSEOPENHOUSEOPEN

HOUSEOPENHOUSEOPEN

HOUSEOPENHOUSE

On July 1, 2012, Martin Laurendeau, real estate broker, signs exclusive Brokerage contract no. BCS-54321 withanaturalpersonforthesaleofabungalow.ThecontractwillexpireonSeptember18,2012.

As stipulated in clause 9.1 of this Brokerage contract – Sale for a residential immovable, he undertakes to put the property on the market in the normal manner, in accordance with generally accepted practices. Thisnormalmarketingpackageincludes:twoopenhousesandanadinthelocalnewspaperintheweek of August 6, 2012.

For any additional open houses or additional ads in other newspapers, he asks for the following fees:

• Fees for 3 additional open houses, from 2 to 4 p.m., over the term of the Brokerage contract – Sale: $80/hour.

• Publication Costs for ads appearing in the week of August 6, 2012 in the daily nouvelles Provinciales and the weekly Hebdo Maisons: $185 per ad.

Mr. Laurendeau asks his clients for a $370 advance to pay for the ads in nouvelles provinciales and Maisons Hebdo.


DraftinganAnnexRC–RemunerationandCosts

A) Section 1: Reference to main form















MANDATORY FORM





RC 00001

ThebrokermustidentifythemainBrokeragecontractbyenteringthecorrespondingabbreviationandnumberinthespacesprovided.ThisnumberisfoundunderthebarcodeontheBrokeragecontract.

B) Clause 2.1: Remuneration (plus taxes) 1. REFERENCE TO PRINCIPAL FORM














MANDATORY FORM





RC 00001

Thepurposeofthisclauseistoenteranyremunerationmethodotherthanwhatispayablefollowingacceptance of the Promise to purchase.

Thebrokermustcheckwhetheritistheseller,thelessororthebuyerwhoundertakestopayremuneration inadditiontothatmentionedunderthe“Remuneration(plustaxes)”sectionofthecontractreferencedinsection 1. Remuneration is a sum of money paid to the broker for the work performed (e.g. hourly rate, additional lump sum).

Abrokerdraftingthisclausemustclearlydetailanddefinetheparameters,includingtheobjectoftheremuneration,thefrequencyorperformancescheduleofthisobject,thefeesandthemaximumamount the client could pay, etc.

Thisremunerationwillbepayabletotheagencyorbrokeractingonhisownaccountoncetheservicesconcerned have been rendered.


Deduction of remuneration in addition to that indicated in the main Brokerage contract Thebrokermustclarifywiththepartieswhethertheremunerationindicatedin2.1istobedeductedfrom or paid in addition to the remuneration indicated in the Brokerage contract.















MANDATORY FORM





RC 00001

V 5 4 3 2 1

Open houses: maximum of 3 additional open houses from 2 to 4 p.m., $80/hr, over the termof the brokerage contract to sell: July 1, 2012 to September 18, 2012

This remuneration will be deducted from any remuneration indicated in clause 7.1 of the contractreferenced in section 1.

Classified ad in the daily “Nouvelles Provinciales” and the weekly “Hebdo Maisons”. Add to run theweek of August 6, 2012. Cost = 2 ads x $185 ea. = $370

------------------------------- hundred and fifty (advance on costs) ------------------------------- 550

LB CP ML


C) Clause 2.2: Costs















MANDATORY FORM





RC 00001

Thepurposeofthisclauseisforthebrokertoenterthecosts(expensesthatdonotinvolvethebroker’swork)thattheclientundertakestopayinadditiontotheremunerationindicatedinthe“Remuneration(plustaxes)”section of the contract referenced in section 1.

Example:expensesforamajoradvertisingcampaigninvariousnewspapers.

A broker drafting this clause must clearly detail and define the parameters, such as the type of cost, frequency, execution date, maximum amount the client could pay, etc.


D)Clause3:Advanceonremunerationorcosts

Sections 3, 26, 31 and 35 of the regulation respecting records, books and registers, trust accounting and inspection of brokers and agencies















MANDATORY FORM





RC 00001

ThepurposeofthisclauseistogetanadvancetocoverthecostsandtheremunerationindicatedintheBrokerage contract.

Thebrokerdraftingthisclausemustclearlyindicateiftheadvanceisonlyforcostsorforremuneration.

Thesesums,paidinthelicenceholder’strustaccount,canonlybewithdrawnoncetheservicesdescribedhavebeenrenderedorthecostshavebeenincurredandinvoicedorsentinwriting.Theymustalsohavebeensentto or accepted by the seller or the buyer.

InthecasewheretheBrokeragecontractisterminatedorexpired,theagencyorthebrokeractingonhisownaccount must reimburse the seller, the lessor or the buyer for any sum received as advance on remuneration or costs in excess of the amount due.

Managing advances on remuneration or costs Thefollowingdocumentsareavailabletohelpagencyexecutiveofficerswiththeadministrativeoraccountingprocedures involved in managing trust accounts:

• QuickReferenceGuide–Managing trust accountshttps://secure.oaciq.com/sites/default/files/article/fichiers/quickrefmanagingtrustacct2010.pdf


4.1 Introduction to the new Declarations by the seller of the immovable form

MANDATORY FORM

DECLARATIONS BY THE SELLER OF THE IMMOVABLE(LAND AND BUILDINGS, APPURTENANCES AND DEPENDENCIES)

Form developed in cooperation with the Québec Association of Building Inspectors

Given the importance of the declarations that follow, the seller must provide the information to the best of his knowledge, adding details as needed.

The seller must INCLUDE all available documents pertaining to his declarations such as any documents related to work, warranties, invoices, receipts, plans, permits, letters, reports, notices, etc., AND PROVIDE details regarding any positive answers under section D14.

This form is an annex to brokerage contract : BC -

D1. IDENTIFICATION OF THE IMMOVABLE

D1.1 The declarations herein pertain to the immovable located at:

D2. GENERAL INFORMATION

D2.1 In what year did you acquire the immovable?

D2.2 Do you occupy the immovable and, if so, since when? yes, since no

D2.3 Was the immovable ever leased ? yes no

If so, identify the leasing periods :

D2.4 In the case of a leased immovable :

a) The leases detailed in Annex bring in rents of at least

dollars ( $) annually .

b) Have you received any notice from a lessee or from the spouse of a lessee to the effect that the immovable or part thereof is used as a family residence ? yes no

c) Have you received any notice liable to amend the existing leases ? yes no

d) Are there lessees who benefi t from special advantages from you that are not specifi cally indicated in writing in the leases ? yes no

e) Are there any proceedings pending before the Régie du logement or any other tribunal ? yes no

f) Is the immovable part of a housing complex within the meaning of the Act respecting the Régie du logement (R.S.Q., c. R-8.1) ? yes no

g) Does the immovable constitute a portion that has been detached from a housing complex within the meaning of the Act respecting the Régie du logement (R.S.Q., c. R-8.1) following an alienation without fi rst having obtained the authorization of the court ? yes no

D2.5 What is the year of construction of the building? don’t know

D2.6 To your knowledge and subject to what the verifi cations to be done by the BROKER or a potential buyer may reveal :

a) Is the immovable affected by hypothecs, servitudes, other real rights or other charges ? yes no

b) Is the immovable affected by restrictions of public law that are exceptions to ordinary law (e.g. fl ood risk area, municipal zoning and subdivision by-laws, Cultural Property Act, Act to preserve agricultural land, Environment Protection Act, and related regulations) ? yes no

D2.7 To your knowledge, has the immovable ever been the subject of a notice of non-compliance from a competent authority or from an insurer with which you have not complied ? yes no

D2.8 To your knowledge, does the immovable conform to the laws and regulations relating to environment protection? yes no

D2.9 Is the immovable covered by a new home warranty? yes no

If so, is a document available attesting that the immovable is registered in the warranty plan? (e.g. certifi cate or letter confi rming registration) ? yes no

D2.10 What telecommunications company(ies) service the immovable (e.g. Bell, Videotron, Cogeco, Shaw Direct, Telus, etc.) ?

1/6

ADDRESS OR CADASTRAL DESCRIPTION IF A VACANT LOT

NOTE – This form is to be used to complete a mandatory brokerage contract form for the sale of a residential immovable.

The OACIQ publishes forms as part of its public protection mission.© Organisme d’autoréglementation du courtage immobilier du Québec, 2010. No reproduction without written permission. For information: Info OACIQ | Tel.: 450 462-9800 or 1 800 440-7170 | Fax: 450 676-7801 | [email protected] | www.oaciq.com DS 00001

IfaBrokeragecontractismadewithanaturalperson,theDeclarations by the seller of the immovable form is mandatory and forms an integral part of the new Brokerage contract – Sale. When taking up a Brokerage contract, the broker must complete this form with the seller and have it signed by him.

Thisformallowsthesellertodeclare,tothebestofhisknowledge,alltheinformationaboutthemaincomponents of the immovable (land and buildings, appurtenances and dependencies).

Thisformprotectsthesellerbecauseanythingthatisdeclaredcannotbeinvokedasahiddendefect.

Where possible, the broker must verify the declarations made by the seller in accordance with generally acceptedpractices.Therelevantdocuments(invoices,warranties,reports,plans,permits,etc.)mustbefiled in the agency’s record.

4 DECLARATIONS By THE SELLER OF THE IMMOvABLE (LAND AND BUILDINgS, APPURTENANCES AND DEPENDENCIES) MANDATORy FORM


Theexistenceofdeclarationsbythesellermustbeindicatedonthedetaileddescriptionsheet.Acopyof the Declarations by the seller of the immovable form must be attached to the Promise to purchase.

IfanaturalpersonrefusestocompletetheDeclarations by the seller of the immovable form, the broker must not accept the Brokerage contract.

4.2 Activity 3: Advantages of completing the Declarations by the seller of the immovable form

Read the following statements about the advantages of completing the Declarations by the seller of the immovable form.Inyouropinion,whichofthesestatementsaretrueorfalse?Enteran(X)toindicateyour choice.

Statement True False

1.The buyer’s broker who receives this form before even drafting a Promise to purchase has all the information he needs to do so.

2. It provides the necessary transparency for a successful trans-action and considerably reducess the risk of legal action.

3.

It facilitates the performance of the transaction and minimizes risks by preventing information disclosed or doscovered at the last minute from making the transaction difficult or causing it to fail.

4.

The problems declared by the seller minimize the possibility for the buyer to use them as excuses not to follow through on his Promise to purchase if they come up in the course of the pre-purchase inspection.

5. The “defects” declared by the seller cannot become grounds for legal action for hidden defects.


5.1 Introduction to new Promise to purchase form







REPRESENTED BY


REPRESENTED BY










1.1











BCS 00001

MANDATORY FORMEXCLUSIVE BROKERAGE CONTRACT – UNDIVIDED CO-OWNERSHIP

SHARE OF A CHIEFLY RESIDENTIAL IMMOVABLE HELD IN UNDIVIDED CO-OWNERSHIP





REPRESENTED BY


REPRESENTED BY



ADDRESS OF ESTABLISHMENT, TELEPHONE NUMBER, EMAIL ADDRESS OF ESTABLISHMENT, TELEPHONE NUMBER, EMAIL


real estate agency real estate broker acting on his own account real estate agency real estate broker acting on his own account

carrying on activities within the following business corporation: carrying on activities within the following business corporation:

(hereinafter called “the AGENCY” or “the BROKER”). (hereinafter called “the AGENCY” or “the BROKER”).


(hereinafter called “the SELLER”). (hereinafter called “the SELLER”).

1.1 The identity of the SELLER was verifi ed using the following document, for: SELLER 1 or his REPRESENTATIVE SELLER 2 or his REPRESENTATIVE

Driver’s licence Medicare card Driver’s licence Medicare card Permanent Resident Card Passport Permanent Resident Card Passport Canadian citizenship card Birth certifi cate from civil registry Canadian citizenship card Birth certifi cate from civil registry

Date of birth: Date of birth:

Profession or principal activity: Profession or principal activity:




PLACE OF ISSUANCE EXPIRY EXPIRYPLACE OF ISSUANCE



BCU 00001

MANDATORY FORMPROMISE TO PURCHASE – DIVIDED CO-OWNERSHIP

FRACTION OF A CHIEFLY RESIDENTIAL IMMOVABLE HELD IN DIVIDED CO-OWNERSHIP

CADASTRAL DESCRIPTION OF PRIVATE PORTIONS OF PARKING SPACE OF STORAGE SPACE

NUMBER STREET APARTMENT CITY PROVINCE POSTAL CODE

DIMENSIONS OF PRIVATE PORTIONS AREA OF PRIVATE PORTION AS PER CADASTRAL PLAN

NOTE – This form does not constitute the preliminary contract required under articles 1785 and following of the Civil Code of Québec for the sale of an immovable by a builder or promoter. Where a preliminary contract is required, a specifi c form must be used.


NAME, ADDRESS, TELEPHONE NUMBER AND EMAIL OF BUYER 1 AND REPRESENTATIVE, IF APPLICABLE, NAME, ADDRESS, TELEPHONE NUMBER AND EMAIL OF SELLER 1 AND REPRESENTATIVE, IF APPLICABLE, RELATIONSHIP TO BUYER (E.G. MANDATARY) RELATIONSHIP TO SELLER (E.G. MANDATARY, LIQUIDATOR OF A SUCCESSION OR BUSINESS CORPORATION)

NAME, ADDRESS, TELEPHONE NUMBER AND EMAIL OF BUYER 2 AND REPRESENTATIVE, IF APPLICABLE, NAME, ADDRESS, TELEPHONE NUMBER AND EMAIL OF SELLER 2 AND REPRESENTATIVE, IF APPLICABLE, RELATIONSHIP TO BUYER (E.G. MANDATARY) RELATIONSHIP TO SELLER (E.G. MANDATARY, LIQUIDATOR OF A SUCCESSION OR BUSINESS CORPORATION)

(hereinafter called “the BUYER”). (hereinafter called “the SELLER”).

2. OBJECT OF THE PROMISE TO PURCHASE

2.1 The BUYER hereby promises to purchase the immovable described hereinafter, at the price and under the conditions stated below, through: , broker ,

carrying on activities within the following business corporation:

representing the following agency: or acting on his own account.


3.1 The immovable held in divided co-ownership, is designated as follows:

;

and all related rights in common portions: ;SHARE OF COMMON PORTIONS CADASTRAL DESCRIPTION OF COMMON PORTIONS

the immovable held in divided co-ownership includes:

parking space(s) number(s) private portion common portion for restricted use

other: indoor outdoor

storage space(s) number(s) private portion common portion for restricted use

other: indoor outdoor (hereinafter called “the IMMOVABLE”).

1/8

m ft m2 ft2


LICENCE NUMBER

PPD 00001

When to use:

• Whenanaturalperson,alegalpersonorapartnershipundertakestopurchaseanimmovable.

• Thisformcannotbeusedforthesaleofanimmovablebyabuilderorapromoter,asitdoesnot constitute the preliminary contract required under Articles 1785 and following of the Civil Code of Québec.

5.2 Activity 4: Drafting a Promise to purchase – Chiefly residential immovable

1. Read the information regarding the meeting between Claude Bouffard, real estate broker, and his clients on pages 35 to 39.

2. Complete the Promise to purchase - Chiefly residential immovable containing less than 5 dwellings excluding co-ownership form using the form in your activity book.

NEW

NEW

5 THE PROMISE TO PURCHASE – CHIEFLy RESIDENTIAL IMMOvABLE CONTAININg LESS THAN 5 DWELLINgS ExCLUDINg CO-OWNERSHIP


Information needed to complete Activity 4:

The buyer’s broker:

Licence: W1111

Les immeubles ABC inc.

974 Peter Avenue, Hull, QC J8X 1B5

Tel.: 450 321-9876

Issued: 2001 03 01 Permis de conduire

4d S5455-151075-051 SMITH 2 SYLVIE3 Date de naissance (A-M-J) : 1975-10-158 (QC) J3V 3W4

15 sexe : F9 Classe(s) : 512 Cond. : Aucune 16 Taille (cm) : 155 18 Yeux : BLEUS

5 n o de référence : P W B Q 9 8 J O M4a Valide le 2011-10-07 4b Expire le 2013-03-05Paiement exigé chaque année à votre date anniversaire de naissance

Sylvie Smith

Vavoom coiffure

Sylvie Smith, Coiffeuse

1973, avenue de la Coupe, Boucherville (Québec) P5K V3U

Téléphone : 450 456-8624

Permis de conduire

4d B6341-050372-031 BIGRAS2 JOhn3 Date de naissance (A-M-J) : 1972-03-058 (QC) J3Y 3W3

15 sexe : M9 Classe(s) : 512 Cond. : Aucune 16 Taille (cm) : 180 18 Yeux : Brun

5 n o de référence : a P f u 3 9 f u g4a Valide le 2010-02-27 4b Expire le 2013-03-05Paiement exigé chaque année à votre date anniversaire de naissance

John Bigras

6789, boul. Ste-Karen, Brossard (Québec) F9B 2K9Tél. : 450 987-3456, poste 160 Télec. : 450 987-6543

[email protected]

John Bigras, Technologue

Technopro

Real estate broker

987, rue Thérèse, 3St-Bruno

123, rue Claude, 5St-Hubert

The buyers

Sylvie Smith, hairdresser Tel:450461-5454 [email protected]

Licence: W1111



Tel.: 450 321-9876





Sylvie Smith

Vavoom coiffure



Téléphone : 450 456-8624

Permis de conduire




John Bigras


[email protected]


Technopro

Real estate broker



John Bigras, technician Tel:[email protected]

Licence: W1111



Tel.: 450 321-9876





Sylvie Smith

Vavoom coiffure



Téléphone : 450 456-8624

Permis de conduire




John Bigras


[email protected]


Technopro

Real estate broker




Information needed to complete Activity 4 (cont’d)

• Mortgagepreapproval:seeletteronpage39;

• Thesellerswanttogivea$5,000depositandpayanadditionalsumof$55,000;

• PromisetopurchasesignedonJuly9,2012;

• Offeringprice:$299,000withfinancingover25years;

• ThisPromisetopurchaseisconditionalupon:

• ThesaleofJohn’scondo;

• Mortgageapproval;

• Aninspectionofthepropertywithin10daysfollowingacceptanceofthePromisetopurchase;

• AreviewofDeclarations by the seller of the immovableformDS-12345within5daysfollowing acceptanceofthePromisetopurchase;

• Verificationoftheleasingcontractforthewaterheater;

• Verificationoftheinstalmentsalescontractforthewall-mountedairconditioningunit.

• ThecouplewishesforanoccupancydateofSeptember1,2012atnoon;

• Theadjustmentsforgeneralandspecialrealestatetaxes,fuelreservesandincomeorexpenses relating to the IMMOVABlE will be made as of the date of signing of the deed of sale.



$324,900

4973, providence(Avenue)Gatineau, Québec J8Y 3Y5

region:Neighbourhood:Near:

Outaouais

property Type:property style:property Use:Building Type:Total Number of Floors: Building size:Lot Area:Lot size:

ResidentialCottageCommercial and residentialDetached27.62 X 14.63 m597.43m2

31.88 x 18.74 m

Cadastre of Québec:Zoning:Year built:Certificate of location :registration Number:Type of Busness:Occupancy:signing of Deed of sale:

1 549 330Commercial1989Yes (1993)81017 7639 47 9331Hair Salon60 days PP acceptance60 days PP acceptance

Municipal Assessment

Year: Lot: Building: Total:

2011$48,100

$149,200$197,300

Taxes (annual)

Municipal: school:

Total:

$4,281$680

$4,971

Features

sewage system: Water supply: Foundation:roof:siding:Dividing Floor: Windows: Energy/Heating: Heating system:

MunicipalityMunicipalityConcreteShinglesBrick and CanexelWoodPVCElectricityElectric baseboard units

Basement:Equipment:(instalment sale)rented Equipment (monthly): parking:Driveway:Lot:Distinctive Features:proximity:

6 ft +A/C wall unit

Water heaterDriveway (4)AsphaltFencedCorner lotPublic transit, grocery store, video club

Inclusions

• Salon equipment:

• Blue enamel cast iron sink• Two hydraulic chairs• Magazine rack• Black leather couch for waiting room• 2 dark plywood dressing tables, with mirror

• Norvègezen Spa

• Clairplus dishwasher



Notes

Rare opportunity. Immovable used mainly as a residence, with 5% being used for commercial purposes. Operate a business from your home. Superb, well-maintained home. Renovated bathroom and kitchen. Water heater payments: $15/month.A/C wall unit payments: $127/month (term remaining: 2 yrs).

Declarations by the seller: yes DS-12345

Owner

Monique Desjardins4973 Providence Ave.Gatineau, Québec J8Y 3Y5819 555-2002

Richard Regimbald4973 Providence Ave.Gatineau, Québec J8Y 3Y5819 555-2002

This does not constitute an offer or a promise which could bind the seller to the buyer, but rather an invitation to submit such offers or promises.

seller’s broker

Les maisons de chez-nous inc.Real estate agency819 [email protected]

Irois LegrandChartered real estate broker819 [email protected]

remuneration collab. broker:Date contract signed:Expiry date:Appointment:

2.5%2012/07/012012/12/30Seller’s broker – min. 24-hour notice

Broker’s declarations:Last price:Original price:

No$324,900$324,900


La Banque42 Aristide Briand BoulevardSherbrooke, Québec G0B 1K0

Transit: 23-15250Account: 88 087-3

Reference: 987456321

Date

Mr. John Bigras123 Claude St., 5St-Hubert, Québec J3Y 3W3

Mrs. Sylvie Smith987 Thérèse St., 3St-Bruno, Québec J3V 3W4

re: Mortgage preapproval

Dear Sir/Madam:

We hereby confirm that your mortgage pre-approval application, reference no. 987456321, in the amount of $350,000 has been accepted.

This pre-approval is valid for a period of 180 days from the date of this letter, at a rate of 5% for 5 years.

Do not hesitate to contact your financial advisor with any questions.

Respectfully yours,

Tristan JettéTristan Jetté,Manager, Mortgage Dept.


DraftingofaPromisetopurchase–Chieflyresidentialimmovable containing less than 5 dwellings excluding co-ownership

A)Clause1:Identificationoftheparties

MANDATORY FORMPROMISE TO PURCHASE

CHIEFLY RESIDENTIAL IMMOVABLE CONTAINING LESS THAN FIVE DWELLINGS EXCLUDING CO-OWNERSHIP



DIMENSIONS AREA

NOTE – This form does not constitute the preliminary contract required under articles 1785 and following of the Civil Code of Québec for the sale of an immovable


NAME, ADDRESS, TELEPHONE NUMBER AND EMAIL OF BUYER 1 AND REPRESENTATIVE, IF APPLICABLE, NAME, ADDRESS, TELEPHONE NUMBER AND EMAIL OF SELLER 1 AND REPRESENTATIVE, IF APPLICABLE, ( RELLES OT PIHSNOITALER )YRATADNAM .G.E( REYUB OT PIHSNOITALER E.G. MANDATARY, LIQUIDATOR OF A SUCCESSION OR BUSINESS CORPORATION)


.)”RELLES eht“ dellac retfaniereh( .)”REYUB eht“ dellac retfaniereh(


2.1 The BUYER hereby promises to purchase the immovable described hereinafter, at the price and under the conditions stated below, through:

, broker ,

¨ carrying on activities within of the following business corporation:

¨ ro :ycnega gniwollof eht gnitneserper ̈ acting on his own account.


3.1 The immovable, with building erected, if applicable, is designated as follows:


1/7

¨ m ¨ ft ¨ m2 ¨ ft2


LICENCE NUMBER

PP 00001

Thebrokermustenterinthissectionthecompleteinformationrequiredtoidentifythesellerandthebuyer.

Onewaytoverifythebuyers’identitiesusingapieceofIDistousetheOACIQidentity Verification recommendedform.NotethatphotocopiesofIDcardsarenotrecommendedduetotheriskofidentitytheft.

TheIdentityverificationrecommendedformisavailableonSynbad:http://www.oaciq.com/sites/default/files/article/fichiers/identityverification100921.pdf

Thisformmustbefiledintherecord.


B)Clause4.2:Immovablesubjecttotaxes

4. PRICE AND DEPOSIT (PLUS TAXES, IF APPLICABLE)

4.1 PRICE srallod eb llahs ecirp esahcrup ehT –

($ ) which the BUYER agrees to pay in full upon the signing of the deed of sale.

4.2 The IMMOVABLE ̈ is not subject OR ̈ is subject to Goods and Services Taxes and Québec sales taxes in a proportion of %. Consequently, any tax that may be imposed as a result of the sale and to be collected by the SELLER under applicable tax laws shall, upon the signing of the deed of sale, be remitted by the BUYER to the SELLER for this purpose.

4.3 DEPOSIT – With this promise to purchase, the BUYER remits to the broker referred to in clause 2.1, as a deposit on the sale price to b fo mus a ,diap e

) $( srallod

by cheque payable to the order of “ in trust”

be given to the TRUSTEE, who shall deposit it into his trust account until the sum is required by the notary for the purpose of the deed of sale, whereupon that sum shall be applied against the purchase price. As soon as he has deposited that sum into his trust account, the TRUSTEE shall give the depositor a receipt. Should this promise to purchase become null and void, the TRUSTEE shall immediately refund the deposit to the depositor, without interest. The TRUSTEE may require that the request for a refund be made in writing. Otherwise, the TRUSTEE may use that deposit only in accordance with this promise to purchase or with the law.

5. METHOD OF PAYMENT

5.1 DEPOSIT – Deposit paid in accordance with clause 4.3 of this promise to purchase: $

5.2 ADDITIONAL SUM – Within the deadline indicated by the acting notary, the BUYER shall pay, or shall cause to be paid, to the acting notary, in trust, an additional sum: $

5.3 NEW LOAN – Within the deadline indicated by the acting notary, the BUYER shall cause to be paid to the notary, in trust, a sum corresponding to any amount to be obtained in the form of a new hypothecary loan in accordance with clause 6.1: $

5.4 EXISTING LOAN – The BUYER shall assume, in accordance with

Financing Annex AF- , the obligations relating to the existing

hypothecary loans, of which the overall balance is approximately: $

5.5 BALANCE OF THE SALE PRICE – The BUYER shall pay to the SELLER,

in accordance with Financing Annex AF- , the balance of the sale price: $

TOTAL PRICE $

6. NEW HYPOTHECARY LOAN

6.1 TERMS AND CONDITIONS – The BUYER undertakes to take in good faith, as soon as possible and at his expense, all steps necessary to obtain a loan

of $ , secured by hypothec; this loan bearing interest at the current rate, which shall not exceed %

per annum (calculated semi-annually and not in advance), shall be calculated according to a maximum amortization plan of years, the balance

becoming due in a minimum of years.

6.2 UNDERTAKING – The BUYER undertakes to supply to the SELLER, within days following acceptance of this promise to purchase, a copy of the undertaking by a hypothecary lender to grant the BUYER a loan in the amount set out in clause 6.1 or higher. Receipt of such an undertaking within that period shall have the effect of fully satisfying the conditions set out in clause 6.1.

NAME OF AGENCY OR BROKER IN TRUST

2/7The OACIQ publishes forms as part of its public protection mission.© Organisme d’autoréglementation du courtage immobilier du Québec, 2010. No reproduction without written permission. For information: Info OACIQ | Tel.: 450 462-9800 or 1 800 440-7170 | Fax: 450 676-7801 | [email protected] | www.oaciq.com PP 00001

Thisnewclauserequiresthebrokertospecifytheproportioninwhichtheimmovableissubjecttotaxes. Thisinformationmustbeobtainedfromtheseller.

C)Clause4.3:Deposit






) $( srallod












TOTAL PRICE $









Thebrokerhasanethicaldutytorecommendadeposit.Thissumwillbedepositedwithout delay in his trust account and kept there until it is requested by the notary for the purpose of the deed of sale.

Should the Promise to purchase become null and void and the broker immediately required to refund the deposit to the client without interest, the broker may ask that this request be made in writing. Such a request should be made each time there is a risk of dispute between the buyer and the seller.

ThebrokercanonlyusethisdepositinaccordancewiththetermsofthePromisetopurchaseortheAct. Thesetermstakeintoaccountthelegalrequirementsconcerningsumsheldintrustinaccordancewith the Real Estate Brokerage Act and the Regulations thereunder.


D)Section5:Methodofpayment






) $( srallod












TOTAL PRICE $









Thissectionallowsthebrokertobreakdownthepaymentmethods.Thetotalpriceisthetotalofclauses5.1to 5.5, which adds up to the purchase price indicated in 4.1.

Clause 5.1 DEPOSIT:Thisiswherethebrokerenterstheamountofdepositreceivedfromthebuyer.

Clause 5.2 ADDITIONAL SUM: Here you would enter any substantial sum received in cash in addition to the depositpaidin5.1.Thesefundsmustnowbepaidbythedeadlineindicatedbythenotary,asthenotarycouldrequirethissumpriortothesigningofthedeedofsale.Ifasubstantialcashsumisdeposited,complete an Annex AF and check the clause F2.1.

Clause 5.3 NEW LOAN: Here you would enter the amount of the new mortgage loan in order to get a completebreakdownofthepurchasepriceindicatedinclause4.1.Thebrokermustthenentertheterms of this loan under clause 6 of the Promise to purchase.

Clause 5.4 ExISTINg LOAN: This is where you indicate the amounts corresponding to the assumption of anexistingmortgageloan.ThebrokermustcompleteanAnnexF–Financing,whichincludestherelevantclauses.

Clause 5.5 BALANCE OF THE SALE PRICE:Thisiswhereyouindicatethebalanceofthesalepricethatthebuyeragreestoreimburse.ThebrokermustcompleteanAnnexF–Financing,whichincludestherelevantclauses.


E)Clause6.1:Termsandconditions

Section 46 of the du regulation respecting brokerage requirements, professional conduct of brokers and advertising






) $( srallod












TOTAL PRICE $









Itisnolongernecessarytoindicatetherankofthehypothecandthepaymentamountinclause6.1.However,the broker must still calculate and advise the client based on his ability to pay.

Thelengthoftheamortizationplanisthemaximum,whichleavesthebuyerlatitudetonegotiateashorterlength with the lender.

Theduedateoftheloanistheminimumterm,whichleavesthebuyerlatitudetonegotiatealongertermwith the lender.

F) Clause 6.2: Undertaking






) $( srallod












TOTAL PRICE $









Theamountoftheundertakingbythemortgagelendermustbeat least the amount of the loan indicated in 6.1.

Thebrokermustsendtheselleracopyofthemortgagelender’sundertakingwithintheperiodstipulated.

G) Clause 7.1: Visit of the immovable by the buyer

6.3 ABSENCE OF UNDERTAKINGthe period set out in clause 6.2 or following receipt of a notice of refusal, notify the BUYER, in writing:

ew application for an hypothecary loan conforming to the conditions set out in clause 6.1. Should the BUYER not succeed in obtaining, within the timeSELLER’s notice, a written undertaking from that hypothecary lender to grant the BUYER the loan applied for, this promise to purchase shall become null and void. However, the receipt of such an undertaking within that period shall have the effect of fully satisfying the conditions of this section;

OR

b) that he renders this promise to purchase null and void.

promise to purchase shall become null and void.

7. DECLARATIONS AND OBLIGATIONS OF THE BUYER

7.1 Subject to clause 8.1 and unless stipulated otherwise in clause 12.1, the BUYER has visited the IMMOVABLE, on

7.2 The BUYER declares that ¨ he is not bound OR ̈

7.3 The costs of the deed of sale, of its registration and of the copies required shall be at the BUYER’s expense.

7.4 Transfer duties following the signing of the deed of sale shall be at the BUYER’s expense.

7.5 The BUYER may not sell, assign or otherwise alienate his rights in this promise to purchase without obtaining the prior written consent of the SELLER.

7.6 DAMAGES – In the event that no deed of sale is signed for the IMMOVABLE through the BUYER’s fault, the BUYER undertakes to compensate directly the agency or the broker, bound to the SELLER by brokerage contract, in accordance with the ordinary rules of law, by paying damages equal to the remuneration that the SELLER would otherwise have had to pay.

8. INSPECTION BY A PERSON CHOSEN BY THE BUYER

8.1 ¨ This promise to purchase is conditional upon the BUYER being permitted to have the IMMOVABLE inspected by a building inspector or a professional within a period of days following acceptance of this promise to purchase. Should this inspection reveal the existence of a factor relating to the immovable

cantly reduce the value thereof, reduce the income generated thereby or increase the expense relating thereto, the BUYER shall notify the SELLER, in writing, and shall give him a copy of the inspection report within four (4) days following the expiry of the above-mentioned time period. This promise to purchase

cation together with a copy of the inspection report. Should the BUYER fail to notify the SELLER ed above, he shall be deemed to have waived this condition.

OR

By initialing this box, the BUYER acknowledges having been informed of his right to have the IMMOVABLE inspected by a building inspector or a professional and having waived his right to do so.

9. REVIEW OF DOCUMENTS BY THE BUYER

9.1

To this effect, the SELLER shall submit to the BUYER a copy of the above documents within days following acceptance of this promise to purchase.

wishes to make this promise to purchase null and void as a result, he shall notify the SELLER, in writing, within seven (7) days following the expiry of the above mentioned time period.

notify the SELLER within the above mentioned time period, he shall be deemed to have waived this condition.

DATE


Thebuyerdeclareshimselfsatisfiedwiththeimmovablefollowinghisvisit.Thebrokermustenterthedate ofthelastvisittotheimmovable.Thishasnothingtodowiththebuildinginspection.


H)Clause7.6vsclause10.7:Damagescausedbythebuyerortheseller



OR














OR



9.1




DATE



10.1 The SELLER declares that: 1. he is the sole owner of the IMMOVABLE or is duly authorized to sign this promise to purchase;2. where applicable, his spouse consents to and concurs in this promise to purchase and will intervene in the deed of sale;3. he is a Canadian resident within the meaning of the Income Tax Act and the Taxation Act and does not intend to change this residence, otherwise the

4. the IMMOVABLE is not the subject of an agreement to sell, exchange or lease it, or of a pre-emptive right in favour of a third party;5. the IMMOVABLE is not an immovable referred to in article 1785 of the Civil Code of Québec, i.e. an existing or planned residential immovable sold

by the builder or a promoter to a natural person who acquires it to occupy it, whether or not the sale includes the transfer to this buyer of the seller’s rights over the land.

10.2 DELIVERY OF THE IMMOVABLE – The SELLER promises to sell the IMMOVABLE to the BUYER and, unless stipulated otherwise in clause 12.1, undertakes to deliver the IMMOVABLE in the condition in which it was when the BUYER visited it.

10.3 OWNERSHIP DOCUMENTS – The SELLER shall supply the BUYER with a valid title of ownership. The IMMOVABLE shall be sold free of any real right or other charges, other than the usual and apparent servitudes of public utility. The SELLER shall be warrantor towards the BUYER for any violation of the restrictions of public law that affect the IMMOVABLE and that are exceptions to the ordinary law of ownership.

to have been amended. The SELLER shall also supply to the BUYER, upon request, any documents in his possession concerning the IMMOVABLE. These

10.4 COSTS RELATING TO REPAYMENT AND CANCELLATION – The costs relating to the repayment and cancellation of any debt secured by hypothec, prior claim or any other real right affecting the IMMOVABLE shall be borne by the SELLER where payment of those costs will not be assumed by the BUYER. The costs relating to repayment include any penalty that may be applicable in case of early repayment.

10.5 DEFECT OR IRREGULARITY affecting the declarations and obligations of the SELLER contained herein, the SELLER shall, within twenty-one (21) days following receipt of a written notice to that effect, notify the BUYER, in writing, that he has remedied that defect or irregularity at his expense or that he will not remedy to it.

the defect or irregularity, or following the expiry of the twenty-one (21) day period in the absence of any notice, notify the SELLER, in writing:

a) that he is purchasing with the alleged defects or irregularities mentioned. Consequently, the SELLER’s declarations and obligations shall be reduced accordingly;

OR

b) that he renders this promise to purchase null and void. Consequently, the fees, expenses and costs reasonably incurred until that time by the BUYER and the SELLER shall be borne only by the SELLER.

s promise to purchase shall become null and void, in which case the BUYER and the SELLER shall each bear the fees, expenses and costs incurred by them respectively.

10.6 INTERVENTION OF SPOUSE – If part of the IMMOVABLE constitutes the SELLER’s family residence, or where rendered necessary by the SELLER’s matrimonial status, the SELLER undertakes to remit to the BUYER, as soon as this promise to purchase is accepted, either a document evidencing his spouse’s consent and, where applicable, his spouse’s concurrence and an undertaking by his spouse to intervene for the same purposes in the notarial deed of sale, or a copy of a judgment authorizing him to sell the IMMOVABLE without his spouse’s consent. Failing that, the BUYER may, by giving written notice to this effect, render this promise to purchase null and void.

10.7 DAMAGES – In the event that, through the SELLER’s fault, no deed of sale is signed for the IMMOVABLE, the SELLER undertakes to compensate directly the agency or the broker, bound to the BUYER by a brokerage contract to purchase, in accordance with the ordinary rules of law, by paying damages equal to the remuneration that the BUYER would otherwise have had to pay.

11. DECLARATIONS AND OBLIGATIONS COMMON TO THE BUYER AND THE SELLER

11.1 DEED OF SALE , erofeb elas fo deed a ngis ot ekatrednu RELLES eht dna REYUB ehT –

notary, on or before . The BUYER shall be the owner upon the signing of the deed of sale.

ormation contained in this form and the annexes thereto, including any related document, within the deadline indicated by the notary.


DATE

PP 00001

Clauses7.6and10.7protecttheseller’sbroker’sremuneration.Theymentionthebuyer’sandtheseller’sliability regarding the remuneration to be paid if no deed of sale is signed through one or the other’s fault.

I)Section8:Inspectionbyapersonchosenbythebuyer




OR














OR



9.1




DATE


Thebrokermustrecommendthathisclientshavethepropertyunderconsiderationinspected.

Checking the box makes the Promise to purchase conditional upon the buyer being permitted to have theimmovableinspectedbyaninspectorofhischoice.Thebuyermaywaivehisrighttohavethebuildinginspected by initialing the box at the bottom of the clause. However, he may still use the notice of fulfilment of conditions and follow-up - immovable recommended form.

Formoreinformationaboutthebroker’sresponsibilitiesregardingbuildingsinspections,seeOACIQ article no. 119996: Compliance with building inspection rules: this concerns you closely.


J) Clause 9.1: Review of documents by the buyer



OR














OR



9.1




DATE


Thisnewclauseallowsforthebuyertoreviewanydocumenthewantsconcerningtheimmovable.

Ifthereviewofthedocumentrevealssomethingthatisnottothebuyer’ssatisfactionorifhedoesnotreceivethemwithinthespecifiedperiod,thePromisetopurchasecanbecancelled.Thebuyerwillhavetonotify thesellerinwritingwithinseven(7)daysfollowingtheexpiryoftheperiodspecifiedin9.1.Ifthebuyerfailsto notify the seller within the specified period, he is deemed to have waived the condition.

K)Clause10.5:Defectorirregularityaffectingthedeclarationsandobligationsoftheseller


10.1 The SELLER declares that: 1. he is the sole owner of the IMMOVABLE or is duly authorized to sign this promise to purchase;2. where applicable, his spouse consents to and concurs in this promise to purchase and will intervene in the deed of sale;3. he is a Canadian resident within the meaning of the Income Tax Act and the Taxation Act and does not intend to change this residence, otherwise the

4. the IMMOVABLE is not the subject of an agreement to sell, exchange or lease it, or of a pre-emptive right in favour of a third party;5. the IMMOVABLE is not an immovable referred to in article 1785 of the Civil Code of Québec, i.e. an existing or planned residential immovable sold

by the builder or a promoter to a natural person who acquires it to occupy it, whether or not the sale includes the transfer to this buyer of the seller’s rights over the land.

10.2 DELIVERY OF THE IMMOVABLE – The SELLER promises to sell the IMMOVABLE to the BUYER and, unless stipulated otherwise in clause 12.1, undertakes to deliver the IMMOVABLE in the condition in which it was when the BUYER visited it.

10.3 OWNERSHIP DOCUMENTS – The SELLER shall supply the BUYER with a valid title of ownership. The IMMOVABLE shall be sold free of any real right or other charges, other than the usual and apparent servitudes of public utility. The SELLER shall be warrantor towards the BUYER for any violation of the restrictions of public law that affect the IMMOVABLE and that are exceptions to the ordinary law of ownership.

to have been amended. The SELLER shall also supply to the BUYER, upon request, any documents in his possession concerning the IMMOVABLE. These

10.4 COSTS RELATING TO REPAYMENT AND CANCELLATION – The costs relating to the repayment and cancellation of any debt secured by hypothec, prior claim or any other real right affecting the IMMOVABLE shall be borne by the SELLER where payment of those costs will not be assumed by the BUYER. The costs relating to repayment include any penalty that may be applicable in case of early repayment.

10.5 DEFECT OR IRREGULARITY affecting the declarations and obligations of the SELLER contained herein, the SELLER shall, within twenty-one (21) days following receipt of a written notice to that effect, notify the BUYER, in writing, that he has remedied that defect or irregularity at his expense or that he will not remedy to it.

the defect or irregularity, or following the expiry of the twenty-one (21) day period in the absence of any notice, notify the SELLER, in writing:

a) that he is purchasing with the alleged defects or irregularities mentioned. Consequently, the SELLER’s declarations and obligations shall be reduced accordingly;

OR

b) that he renders this promise to purchase null and void. Consequently, the fees, expenses and costs reasonably incurred until that time by the BUYER and the SELLER shall be borne only by the SELLER.

s promise to purchase shall become null and void, in which case the BUYER and the SELLER shall each bear the fees, expenses and costs incurred by them respectively.

10.6 INTERVENTION OF SPOUSE – If part of the IMMOVABLE constitutes the SELLER’s family residence, or where rendered necessary by the SELLER’s matrimonial status, the SELLER undertakes to remit to the BUYER, as soon as this promise to purchase is accepted, either a document evidencing his spouse’s consent and, where applicable, his spouse’s concurrence and an undertaking by his spouse to intervene for the same purposes in the notarial deed of sale, or a copy of a judgment authorizing him to sell the IMMOVABLE without his spouse’s consent. Failing that, the BUYER may, by giving written notice to this effect, render this promise to purchase null and void.

10.7 DAMAGES – In the event that, through the SELLER’s fault, no deed of sale is signed for the IMMOVABLE, the SELLER undertakes to compensate directly the agency or the broker, bound to the BUYER by a brokerage contract to purchase, in accordance with the ordinary rules of law, by paying damages equal to the remuneration that the BUYER would otherwise have had to pay.

11. DECLARATIONS AND OBLIGATIONS COMMON TO THE BUYER AND THE SELLER

11.1 DEED OF SALE , erofeb elas fo deed a ngis ot ekatrednu RELLES eht dna REYUB ehT –

notary, on or before . The BUYER shall be the owner upon the signing of the deed of sale.

ormation contained in this form and the annexes thereto, including any related document, within the deadline indicated by the notary.


DATE

PP 00001

Here is what is new regarding this clause:

• BetweenthetimewhentheconditionsofthePromisetopurchasearefulfilledandthesigning of the deed of sale, the parties may now denounce any defect or irregularity affecting the declarations and obligations of the seller.


• Thecaseoftheselleromittingtonotifythebuyerwithin21daysisnowclearlycoveredby thisclause.Intheabsenceofanynoticefromtheseller,thebuyermaynotifythesellerthatheis purchasing with the alleged defects or irregularities, OR that he is making the Promise to purchase null and void.

• Thebuyerwhooptstopurchasewiththeallegeddefectsorirregularitiesrecognizesthatthe declarationsandobligationsoftheSEllERarereducedaccordingly.Thismeansthatsincethe buyer is now aware of the defects and irregularities, he cannot use this reason to come back against the seller.

L) Clause 11.2: Occupancy of premises

11.2 OCCUPANCY OF PREMISES – The SELLER undertakes to render the immovable available for occupancy by the BUYER as of

at : and to leave it free of any property not included in this promise to purchase or not assumed by the BUYER, failing which

the BUYER may have it removed at the SELLER’s expense. If the SELLER vacates the IMMOVABLE before that date, he shall nevertheless remain responsible

for keeping the immovable in the condition that it was in when the BUYER visited it.

11.3 ADJUSTMENTS – Upon the signing of the deed of sale, all the adjustments in respect of general and special real estate taxes, fuel reserves, and income or expenses relating to the IMMOVABLE shall be made:

¨ as of the date of signing of the deed of sale;

OR

¨ as of the date of occupancy.

If the occupancy of the premises is to be subsequent to the signing of the deed of sale, an adjustment in regard of this occupancy shall be made at the signing of the deed of sale, according to the following calculation: the SELLER shall pay an amount equivalent to $

per month, calculated from the date of signing of the deed of sale to the date of occupancy set out in clause 11.2, as compensation for the SELLER’s occupancy of the premises during that period. In such event, heating, electricity and general maintenance costs relating to the premises occupied shall be assumed by the SELLER. In addition, the SELLER shall supply to the BUYER, at his expense, proof of liability insurance.

11.4 AGENCY OR BROKER REMUNERATION – INSTRUCTIONS TO THE NOTARY

to pay directly to , agency or broker of the SELLER, the remuneration amount set out in the brokerage contract to sell awarded by the SELLER from the available sums payable to the SELLER after payment of any prior or hypothecary claim and any disbursements or fees incurred by the notary to cancel these claims. Upon instruction from the agency or broker of the SELLER, the notary shall pay a portion of this remuneration to the agency or broker identified in clause 2.1.

11.5 INCLUSIONS

which are sold without any legal warranty of quality, at the BUYER’s own risk, but must be in working order at the time of delivery of the IMMOVABLE.


11.7 Service and leasing contracts on appliances and equipment to be assumed by the BUYER:

11.8 Items covered by an instalment sales contract, trial sales contract, sales contract with right of redemption, sale contract wi gnisael ro ,esualc yrotuloser htcontract, and obligations of the SELLER to be assumed by the BUYER:


DATE

PP 00001

Theclausestatesthatthesellerisresponsibleforkeepingthepremisesintheconditiontheywereinwhen thebuyervisitedthem.Thestatementregardinglateroccupancyhasbeenmovedtoclause11.3ofthisform.

M)Clause11.3:Adjustments







OR






11.5 INCLUSIONS






DATE

PP 00001

Thepartiesmustindicatethetimingoftheadjustmentsbycheckingeither:

£Asofthedateofsigningofthedeedofsale;or

£ As of the date of occupancy

Thebrokermustindicatetheamountthatthesellershallhavetopaytothebuyeriftheoccupancyistobesubsequenttothesigningofthedeedofsale.Thesellermustprovidethebuyerwithproofofliabilityinsurance, at his expense.


N) Clause 11.4: AGENCY or BROKERremuneration–Instructionstothenotary







OR






11.5 INCLUSIONS






DATE

PP 00001

1. Thisclauseprovidesinstructionstothenotaryregardingthedistributionoftheproceedsof thesale.Itstatesthatthenotarymustpaytothebuyer’sagencyorbrokertheportionofremuneration to which they are entitled, in accordance with the instructions provided by the seller’s agency or broker.

2. Ifnecessary,thisclausecanbesatisfiedbyclauseR2.5ofAnnexR–Chieflyresidentialimmovable containing less than 5 dwellings if the agency or the broker is bound by a Brokerage contract – Purchase.

O) Clause 14.1: Conditions of acceptance of a Promise to purchase

12. OTHER DECLARATIONS AND CONDITIONS

12.1

13. ANNEXES

13.1 The provisions set forth in the Declarations by the seller Annex DS- and those set forth in the part of this promise to purchase:

General Annex AG- Residential immovable Annex AR- Financing Annex AF-

Other(s) :

14. CONDITIONS OF ACCEPTANCE

14.1 The BUYER and the SELLER declare that their consent is not the result of any representation or condition not contained herein. The BUYER

is irrevocably commited until : , on .

If the SELLER accepts this promise to purchase, within this deadline, it shall constitute a contract that is legally binding on the BUYER and the SELLER until

proper and full execution. If the SELLER does not accept it, within this deadline, this promise to purchase shall become null and void. A refusal by the

SELLER shall render this promise to purchase null and void. A counter-proposal by the SELLER shall have the same effect as a refusal.

15. INTERPRETATION

15.1 Unless the context dictates otherwise, the masculine form includes the feminine and neutral forms and vice versa, and the singular includes the plural and vice versa.

15.2 This contract and the performance thereof are governed by the laws of Québec.


DATE

PP 00001

Thisclausestatesthatonlytheseller’sacceptancedeadlineisnecessaryforthePromisetopurchasetobevalid.Thebrokerisnolongerrequiredtoindicateanacceptancenotificationdeadline.

Theseller’sbrokerstillhasadutytonotifythepartytothetransactionthathisPromisetopurchasehasbeenaccepted, including by signing the acknowledgement of receipt on the Promise to purchase or by sending a telegram as soon as possible.


6.1 Introduction to the new form

MANDATORY FORM

ANNEX R – RESIDENTIAL IMMOVABLE


NOTE – This form is to be used, where applicable, to complete a mandatory promise to purchase form for a residential immovable.


R1.1 The conditions set out in this Annex form an integral part of promise to purchase PP - concerning the IMMOVABLE located

at the following address: .

2. OPTIONAL CONDITIONS


R2.1 – SALE OF THE BUYER’s IMMOVABLE This promise to purchase is conditional upon the sale of the BUYER’s immovable located at the following address: . The BUYER agrees to notify the SELLER in writing, before at : :

a) that this condition has been fulfi lled;

OR

b) that he waives the benefi t of this condition.

The BUYER shall be able to waive the benefi t of this condition only if he can demonstrate at the same time that he has the necessary funds to cover the purchase price.

In the event that the promise to purchase is also conditional upon obtaining a hypothecary loan, the remittance, within the period indicated in this condition, of evidence of the hypothecary lender’s undertaking to grant a loan meeting the requirements of the fi nancing condition while being conditional upon the sale of the immovable described above shall satisfy the latter condition.

However, if condition R2.1 is fulfi lled, the BUYER shall provide proof of the hypothecary lender’s unconditional undertaking.

The receipt of such notifi cation within the period indicated in condition R2.1, along with, where applicable, the undertaking by a hypothecary lender or proof of fund availability, shall fully satisfy this condition.

Should the BUYER fail to avail himself of the provisions of sub-section (a) or (b) within the specifi ed time period, the promise to purchase shall become null and void.

R2.2 – PRIVILEGE OF CONTINUING TO OFFER THE IMMOVABLE FOR SALE, WITH A FIRST REFUSAL CLAUSE The SELLER may continue to offer the IMMOVABLE for sale regardless of the acceptance of this promise to purchase. Should a new promise to purchase be accepted, as soon as all the conditions of this new promise – excluding signing the deed of sale in the presence of the notary and obtaining cancellation of the promise to purchase – have been fulfi lled, he shall notify the BUYER by any means providing evidence of the time of receipt, or by telegram at

ADDRESS, TELEPHONE NUMBER

The BUYER may, within 72 hours following receipt of such notifi cation, or following time of sending if sent by telegram (the time recorded by the telecommunications company serving as proof), give the SELLER or the SELLER’s agency or broker written notifi cation of his decision to either:

a) waive the benefi t of condition R2.1, as well as any other condition of the promise to purchase that has not yet been fulfi lled, excluding the signing of the deed of sale in the presence of a notary;

OR

b) render the promise to purchase null and void.

The BUYER may waive the benefi t of condition R2.1 only if he can demonstrate at the same time that he has the necessary funds to cover the purchase price.

Should the BUYER fail to avail himself of the provisions of sub-section (a) or (b) within the specifi ed time period, the promise to purchase shall become null and void.

DATE

AR 00001

Theannex r – residential immovable mandatory form is used to add conditions to a Promise to purchase, including:

• Acceptanceconditionaluponthesaleofthebuyer’simmovable;

• Theprivilegeofcontinuingtooffertheimmovableforsale,withafirstrefusalclause;

• AcceptanceconditionaluponcancellationofanotherPromisetopurchase.

ThisformalsogivestheagencyorbrokerboundbytheBrokerage contract – Purchase the option to have the remuneration paid by the notary directly from the available sums owing to the seller.

Note that clauses R2.1 to R2.5 apply only when checked.

6.2 Promise to purchase conditional upon cancellation of any other Promise to purchase

Scenarios A and B present a situation where a seller who has already accepted a first Promise to purchase receives a second acceptable Promise to purchase. Read the scenarios, and then answer the questions.

Scenario A

NEW

6 Annex R – ReSiDentiAl immovABle


¨ R2.3 – ACCEPTANCE CONDITIONAL UPON CANCELLATION OF ANOTHER ACCEPTED PROMISE TO PURCHASEThe SELLER undertakes, in good faith and at his own expense, to take reasonable steps to obtain cancellation of any other previously accepted promise to

on and the signing of the deed of sale in the presence of a notary. The SELLER shall notify the BUYER in writing of such cancellation within days following acceptance hereof, failing which the promise to purchase shall become null and void.

¨ R2.4 – PROMISE TO PURCHASE CONDITIONAL UPON CANCELLATION OF ANY OTHER PROMISE TO PURCHASE This promise to purchase is conditional upon the cancellation of any other promise to purchase, by at : . In this event, the SELLER shall notify the BUYER in writing within this time period.

If the SELLER fails to notify

¨ R2.5 – REMUNERATION TO AGENCY OR BROKER BOUND BY A BROKERAGE CONTRACT TO PURCHASE – INSTRUCTIONS TO THE NOTARY The BUYER and the SELLER irrevocably instruct the acting notary to 1 of the promise to purchase % of the sale price or a sum of dollars ($ ), plus taxes, due under the brokerage contract to purchase signed with the BUYER, minus, if applicable, the portion of remuneration due to the agency or broker in accordance with the remuneration sharing agreement concluded with the SELLER’s agency or broker, from the available sums payable to the SELLER after payment of any prior or hypothecary claims and any disbursements or fees incurred by the notary to cancel these debts.

The sums payable to the SELLER shall then be paid to him, minus any sums provided in this clause and the adjustments.

3. ADDITIONAL TERMS AND CONDITIONS

R3.1


2/2

SSENTIW2 RELLES1 RELLESSSENTIW2 REYUB1 REYUB


DATE

AR 00001

Clause R2.3 of Annex R – Residential immovable allows the seller to accept another Promise to purchase and totakestepstohavethefirstPromisetopurchaseacceptedbythesellercancelled.Thisclauseisespeciallyrelevant when clauses R2.1 and R2.2 are part of the first Promise to purchase.

Inthecasewherethesecondbuyerfulfillstheconditions,thesellerundertakes,ingoodfaithandathisexpense, to take reasonable steps to obtain cancellation of the first Promise to purchase that has already been accepted for the immovable.

Theseller,withintheperiodindicatedinclauseR2.3,mustaskthefirstbuyerinwritingwhetherhewishes to lift his conditions or proceed.

Scenario B









R3.1


2/2



DATE

AR 00001

Clause R2.4 of Annex R – Residential immovable allows the seller to accept another Promise to purchase conditional upon cancellation of another Promise to purchase.

ThesellerisnotrequiredtotakeanystepstohavethefirstPromisetopurchaseaccepted.Thesellersimply has to wait to see if the conditions of the first Promise to purchase will be fulfilled.

Thesecondbuyerisboundtothesellerfortheperiodindicatedinthisclause,buthedoesnothavetobeginfulfilling his conditions regarding the property under consideration.

IfthefirstPromisetopurchasebecomesnullandvoid,thesellermustnotifythesecondbuyerinwritingwithinthe period indicated in clause R2.4. Should the seller fail to notify the buyer within this period, the second Promise to purchase becomes null and void.

Thesecondbuyerbeginsfulfillinghisconditionstopurchasethepropertyoncehereceivesnotificationfromthe seller regarding the cancellation of the first Promise to purchase. All periods indicated in the second Promise to purchase start to run as of the time of receipt of the written notice from the seller.


6.3 Clause R2.5 Remuneration to agency or broker bound by a Brokerage contract – Purchase – Instructions to the notary








R3.1


2/2



DATE

AR 00001

Clause R2.5 is used when a buyer with whom the broker has signed a Brokerage contract – Purchase wishes to have the remuneration paid from the purchase price offered.

If the seller is represented by a brokerTheremunerationshallbepaidinaccordancewiththeremunerationsharingagreementwiththeseller’sagency or broker.

IftheremunerationindicatedintheBrokeragecontract–Purchaseishigherthantheremunerationsharingagreement, the buyer may pay the difference directly or add this amount to the purchase price offered so that the broker can be paid by the notary from the available sums owing to the seller.

Procedures:

• CompleteaPromisetopurchasewherethepurchasepriceappearinginclause4.1includesthedifference between the terms of the remuneration sharing agreement and the remuneration indicated in the Brokerage contract – Purchase.

• CheckclauseR2.5inAnnexRandenterthepercentageofremunerationorthelumpsumindicatedin the Brokerage contract – Purchase in the space provided.

• InformthesellerthatthepriceindicatedonthePromisetopurchasehasbeenincreasedtoincludethe remuneration differential.

Example :

A remuneration sharing agreement indicates $5,000 (tax included) going to the buyer’s broker.

TheremunerationindicatedintheBrokeragecontract–Purchaseis$6,000taxincluded.

Thepurchasepriceindicatedinclause4.1ofthePPwillbeincreasedby$1,000.

Thebuyer’sbrokermustindicatetheremunerationamountagreedtointheBCPunderclauseR2.5.


---------- six thousand----------- 6,000 tax included

R2.3 – ACCEPTANCE CONDITIONAL UPON CANCELLATION OF ANOTHER ACCEPTED PROMISE TO PURCHASEThe SELLER undertakes, in good faith and at his own expense, to take reasonable steps to obtain cancellation of any other previously accepted promise to


R2.4 – PROMISE TO PURCHASE CONDITIONAL UPON CANCELLATION OF ANY OTHER PROMISE TO PURCHASE This promise to purchase is conditional upon the cancellation of any other promise to purchase, by at : . In this event, the SELLER shall notify the BUYER in writing within this time period.


R2.5 – REMUNERATION TO AGENCY OR BROKER BOUND BY A BROKERAGE CONTRACT TO PURCHASE – INSTRUCTIONS TO THE NOTARY The BUYER and the SELLER irrevocably instruct the acting notary to 1 of the promise to purchase % of the sale price or a sum of dollars ($ ), plus taxes, due under the brokerage contract to purchase signed with the BUYER, minus, if applicable, the portion of remuneration due to the agency or broker in accordance with the remuneration sharing agreement concluded with the SELLER’s agency or broker, from the available sums payable to the SELLER after payment of any prior or hypothecary claims and any disbursements or fees incurred by the notary to cancel these debts.



R3.1


2/2



DATE

AR 00001

Case of an immovable sold directly by the owner

PP

BCP

R2.5

BCS

FOR SALE Sign a brokerage contract to purchase

Complete a promise to purchase

and clause R2.5

FOR SALEBY THE OWNER


ThebrokercanhavetheamountagreedtointheBrokeragecontract–Purchasepaidtohimdirectlyoraddthe amount of his remuneration to the purchase price offered so that the broker will be paid by the notary from the available funds owing to the seller.

Procedures:

• CompleteaPromisetopurchasewherethepurchasepriceappearinginclause4.1includes the remuneration indicated in the Brokerage contract – Purchase.

• CheckclauseR2.5inAnnexRandenterthepercentageofremunerationorthelumpsumindicatedin the Brokerage contract – Purchase in the space provided.

• Thebuyer’sbrokermustprovidefairtreatmenttothesellerbyinforminghimthatthepriceindicated in the Promise to purchase has been increased to include his remuneration, plus applicabletaxes.Thesellermustbeinformedthattheremunerationandtaxeswillbedeductedfrom the sale price.

Direct sale by owner (FSBO)

Purchase price $200,000

Remuneration indicated in BCP $8,000 tax included

Purchase price indicated under clause 4.1 of the PP $208,000

Remuneration amount indicated in BCP to be filled in clause R2.5 $8,000 tax included


7.1 Introduction to the new Amendments form

MANDATORY FORM

AMENDMENTS

1/3

M1. REFERENCE TO PRINCIPAL FORM

The parties agree to make the following amendments to the form entitled:

Brokerage Contract BC - Promise to Purchase PP -

Other:

concerning the IMMOVABLE located at the following address (if applicable):

M2. AMENDMENTS TO THE BROKERAGE CONTRACT

M2.1 EXPIRY DATE – The expiry date indicated under clause of the brokerage contract is hereby amended and shall be 11:59 pm

on .

M2.2 SALE PRICE – The sale price indicated under clause of the brokerage contract is hereby amended and shall be:

dollars ($ ).

M3. ACCEPTANCE PERIOD

M3.1 The acceptance period indicated under clause of the promise to purchase is extended until :

on .

M4. ENHANCEMENT OF THE PROMISE TO PURCHASE (PRIOR TO ACCEPTANCE)

M4.1 PURCHASE PRICE – The purchase price is increased to dollars

($ ), which the BUYER undertakes to pay in its entirety upon the signing of the deed of sale.

Where necessary, the conditions relating to the method of payment and the new hypothecary loan shall be adjusted accordingly.

M4.2 OTHERS


NOTE – This form must be used to amend a mandatory brokerage contract form or promise to purchase form concerning a residential immovable.

DATE

DATE

AM 00001

ThisnewformmustbeusedtoamendaBrokeragecontract–Sale,aBrokeragecontract–Purchaseor a Promise to purchase already signed by one of the parties.

Thesection“Fulfilmentofconditions”oftheoldamendments form is now covered in a separate new form.

7.2 Enhancement of the Promise to purchase prior to acceptance

Thebuyermayincreasethepurchasepricebeforethepromiseisaccepted.Todoso,hemustuseclauseM4.1of the amendments form.

MANDATORY FORM

AMENDMENTS

1/3

M1. REFERENCE TO PRINCIPAL FORM

The parties agree to make the following amendments to the form entitled:

Brokerage Contract BC - Promise to Purchase PP -

Other:

concerning the IMMOVABLE located at the following address (if applicable):

M2. AMENDMENTS TO THE BROKERAGE CONTRACT

M2.1 EXPIRY DATE – The expiry date indicated under clause of the brokerage contract is hereby amended and shall be 11:59 pm

on .

M2.2 SALE PRICE – The sale price indicated under clause of the brokerage contract is hereby amended and shall be:

dollars ($ ).

M3. ACCEPTANCE PERIOD

M3.1 The acceptance period indicated under clause of the promise to purchase is extended until :

on .

M4. ENHANCEMENT OF THE PROMISE TO PURCHASE (PRIOR TO ACCEPTANCE)

M4.1 PURCHASE PRICE – The purchase price is increased to dollars

($ ), which the BUYER undertakes to pay in its entirety upon the signing of the deed of sale.

Where necessary, the conditions relating to the method of payment and the new hypothecary loan shall be adjusted accordingly.

M4.2 OTHERS


NOTE – This form must be used to amend a mandatory brokerage contract form or promise to purchase form concerning a residential immovable.

DATE

DATE

AM 00001

Procedure to accept or amend a price amendmentToacceptaPromisetopurchasewithapriceincrease,thesellermustacceptandsignthePromisetopurchaseANDsigntheamendments form.

IfasellerwishestorefuseaPromisetopurchasewithapriceincrease,agoodpracticeistocrossoutthewords“andagreedto”undersectionM7oftheamendments form and have the seller initial the change before signing the form.

7 AMENDMENTS FORM



Sections 13 and 17 of the Draft regulation on contracts and forms

Otherformscontainadditionsandchanges.Theyareusedinthefollowingcircumstances:

Brokerage contract – Purchase formThismandatoryformisused,ifapplicable,whenalicenceholderentersintoacontractwithanaturalpersonwishingtopurchaseachieflyresidentialimmovablecontaininglessthan5dwellings.Itallowsthelicenceholder to ensure that he will be remunerated by his client.

Annex F – Financing formThemandatoryformisused,ifapplicable,todefinecertainfinancingconditionsdescribedinthePromise to purchase.

Counter-proposal formThisformismandatorytoreplytoaPromisetopurchaseforachieflyresidentialimmovablecontaininglessthan 5 dwellings.

Request for information to the syndicate of co-owners recommended formThisformisusedifthebrokerwishestoobtaininformationanddocumentsfromthesyndicateofco-owners of the property.

notice of fulfilment of conditions and follow-up – immovable recommended formThisformisusedifthebrokerwishestonotifytheotherpartytothecontractthatoneormoreconditions in a Promise to purchase have been fulfilled.

What form can a broker use when selling a chiefly residential immovable held by a financial institution? Circle your answer.

A)AnOACIQExclusive Brokerage contract with a natural person – Sale of a chiefly residential immovable containing less than 5 dwellings excluding divided and undivided co-ownership mandatory form.

B) A Brokerage contract – Sale created by the broker.

8 USE OF OTHER NEW FORMS


Information session

ManDatory Continuing EDuCation aCtiVity for agEnCy ExECutiVE offiCErS


Time Day’s Agenda

2:30

to

4:30 p.m.

• How to use the new forms

• Licence maintenance

• Online training for real estate brokers

• Role of the agency executive officer

4:30 p.m. End of the day

1 INFORMATION SESSION SCHEDULE


• AsofJuly1,2012,alllicenceholdersmustusethenewformspublishedbytheOACIQ.

• AnoldformsignedbeforeJuly1,2012willbevaliduntilitsexpirydate,evenifthisdateisafter July 1, 2012.

• AnybrokeroragencythatdoesnotusethemandatoryformsrequiredundertheActissubject to civil or disciplinary action.

• AnytransactionbeginningbeforeJuly1,2012withanoldformmustcontinueusingthenew forms after that date.

Examples:

An old Brokerage contract – Sale form is signed on March 21, 2012 and expires on September 21, 2012.Tomakeamendmentstotheoriginalcontractortodraftanytransactionproposalson the immovable concerned by this contract, new forms will have to be used.

An old Promise to purchase form is signed on June 30, 2012 and expires on July 2, 2012. Any amendment or counter-proposal made as of July 1, 2012 must be made on new forms, as these do not refer to specific clauses on the old form.

2 HOW TO USE THE NEW FORMS


Mandatory forms

• ExclusiveBrokeragecontract–Sale–Chieflyresidentialimmovablecontaininglessthan5dwellingsexcluding co-ownership

• ExclusiveBrokeragecontract–Dividedco-ownership–Fractionofachieflyresidentialimmovableheldindivided co-ownership

• ExclusiveBrokeragecontract–Undividedco-ownership–Shareofachieflyresidentialimmovableheldinundivided co-ownership

• ExclusiveBrokeragecontract–Purchase–Chieflyresidentialimmovablecontaininglessthan5dwellings

annex rC - remuneration and costs

Declarations by the seller of the immovable

• Promisetopurchase,Chieflyresidentialimmovablecontaininglessthan5dwellingsexcludingco-ownership

• Promisetopurchase–Dividedco-ownership–Fractionofachieflyresidentialimmovableheldindividedco-ownership

• Promisetopurchase–Undividedco-ownership–Shareofachieflyresidentialimmovableheldinundivided co-ownership

annex r – residential immovable

annex f - financing

amendments

Counter-proposal

Recommended forms

request for information to the syndicate of co-owners

notice of fulfilment of conditions and follow-up – immovable

annex – Expert report

annex – Drinking water and septic system – immovable

annex g


3.1 Who must complete the training before July 1, 2012

All brokers who hold a full-service brokerage licence or a licence limited to residential brokerage must have completed the online training on additions and changes to forms by June 30, 2012.

An agency executive officer who attends the 4 hours classroom session on additions and changes to forms is exempt from the online training.

A broker who becomes the holder of a full-service brokerage licence or a licence limited to residential brokerage following a successful certification evaluation based on the new forms is exempt from the training on forms.

A licence holder who fails to complete this mandatory session before July 1, 2012 will have his licence suspended.

A full-service brokerage licence holder who does not wish to attend this mandatory training (because he never engages in residential real estate transactions) may apply restrictions to or modify his licence.

Todoso,hemustprintandcompleteanapplication for licence modification and send this written request totheOACIQwithachequefor$50plustaxes.

http://www.oaciq.com/sites/default/files/article/fichiers/demande-modification-permis-20120305-vang.pdf

3.2 Who may complete the training after July 1, 2012

A person who becomes the holder of a full-service brokerage licence or a licence restricted to residential brokerage after May 31, 2012 after successfully completing a certification evaluation based particularly on the mandatory forms used until June 30, 2012, will have 30 days following the date he obtained his licence, to take the online training.

Brokers who had their licence revoked or suspended before July 1, 2012 must also complete the mandatory continuing education on the new elements and amendments to forms before sending a request to have their licence suspension lifted (suspension case) or before applying for a licence issuance within the period of their acquired rights (revocation case).

3 LICENCE MAINTENANCE


4.1 Description of online training

SynbadW W W

Thetrainingforrealestatebrokersisadistancelearningsessioninwhichtheoryandskillsarelearnedon a web-based platform from a remote computer.

Theonlinetraining,availablefromApril23toJune30,2012,enablesbrokerstoacquirenewskillseasilyandefficientlythroughtheuseofanintelligentinteractivegame.Thebrokerwilllearnbyworkingthroughsimulations that mimic the steps involved in actual real estate transactions.

By completing the online training, brokers will learn to:

• Identifywhenaformorsectionofformshouldbeused;

• Recognizeandunderstandthechangesbetweentheoldandthenewversionsofaform;

• linkinformationbetweentwoformsorsectionsofforms.

4.2 Advantages of online training

Onlinetrainingisgreatbecauseofitsaccessibility.Itallowsparticipantstolearnontheirowntimeandat theirownpace.Itisfun,interactiveanddynamic.Inaddition,knowledgeassessmentisdoneinstantaneously.

4.3 Why we chose online training for licence holders

TheOACIQchoseonlinetrainingbecauseitallowsus,inaperiodofonlytwomonths,toreachallrealestatebrokers who hold a full-service licence or a licence restricted to residential real estate brokerage. Brokers will learn to use the new forms a few weeks prior to their coming into effect, which will maximize retention of the additions and changes.

Inaddition,thetrainingcontentwillbeeasyforparticipantstoassimilate,astheywillbeactivelyinvolved in the learning activities.

4 ONLINE TRAININg FOR REAL ESTATE BROKERS


4.4 Online training structure

Thetotalestimatedtimetocompletetheonlinetrainingisfourhours.Itisstructuredandorganizedasfollows:

figure 1: online training structure


1. Welcome Word of welcome and instructions to navigate through the online training.

2. general guidelines for optimization Theseelementstakeupthe15orsopointsdiscussedinthedocumententitledDecisions of the Board of Directors regarding the new forms – the reflection of your requests, published by theOACIQ.

3. Simulation ItallowsdealingwithasituationthattouchesmostoftheimprovementsmadetotheformsBrokerage contract – Sale, Declarations by the seller of the immovable, Promise to purchase, annex r, amendments.

4. Case studies At the end, the broker will work through a scenario recapping the various additions and changes made to the forms in order to consolidate what he has learned.

4.5 Access to online training

Once the new forms come into effect, the online training will be accessible for reference purposes and to help brokers.

Followingaretheminimumsystemrequirementsforparticipantstobeabletotaketheonlinetraining.Ifyourcomputer does not meet these requirements, you will need to upgrade it as soon as possible.


Minimum system requirements

PC or Mac PC: Windows 98 SE or higher

Mac: OS X or higher Processor: Pentium 1 GHz

System memory: 256 MB RAM Hard drive: 128 MB available

Screen resolution: 1024 x 768 Video card: 16 bits or higher

Internetconnection:Recommendedintermediatespeed(128Kbitsorhigher)recommended

Adobe Flash Player 4, version 8 or higher

Web browsing

Web browser

InternetExplorer6orhigher Firefox 3 or higher Safari 3 or higher

Chrome 5 or higher Opéra

Connection to SynbadReal estate brokers must access the online training tool via Synbad and follow the steps indicated in order to be awarded Continuing Education Units.

Procedures to access Synbad

FromtheOACIQwebsiteat: www.OACIQ.com:

1. Click on Open a Synbad session

2. Enter your License number

3. Enter your Password

4. Click on Log in.

figure 2: Synbad connection window

TheemailaddresswhichappearsinMy record must be the address currently used by the licence holder. Ifthisinformationisnotup-to-date,youcanmodifyitbyclickingonEdit.

IfyouexperiencedifficultiesloggingontoSynbad,contacttheInfoOACIQCentreat450462-9800or1 800 440-7170.


4.6 visual environment of the online training

Thetraining’senvironmentisavirtualneighbourhoodthatservesasasettingforrealisticsituations. Thebrokerwillneedtoclickondifferentlocationsbasedonthenarrative,e.g.:

• Thevirtualcity

• Abrokerageagency

• Atwo-storeyhouse

• Aranch-stylehouse

• Adividedco-ownership

figure 3: the virtual city


4.7 Characters and narrative

Theparticipantwillmeetvariouscharactersthroughouttheonlinetraining.Intheirpresence,hewillneed to use his experience and newly-acquired knowledge to make proper use of the new forms.

figure 4: two of the characters in the online training: the agency executive officer (anne-Marie) and the real estate broker (Simon)

Narrative of the online training scenariosFirst, the general changes made to the forms compared to the current version are discussed through the use ofthecharacterrepresentinganagencyexecutiveofficer.Theseexplanationsaresupportedwithcomputerized versions of the forms.

Thenarrativetheninvitesthebrokertoclick,ononeormoreareasofavirtualneighbourhoodmaptoaccessscenarios that will help him validate his understanding of the changes made to the forms in a realistic context.

Based on the comments exchanged between Simon and the various characters, the broker-in-training will then be required to complete the form sections appropriate to the situation by engaging in a variety of interactive activities.


4.8 Online training tool interface

Navigation on the training interface is simple and intuitive. You don’t have to be a computer expert to complete the online training.

Button / Tab Explanation

MENU Providesaccesstothe“TableofContents”,“Help”,and“Documents”tabs/buttons.

TABlEOFCONTENTS

Thistaballowsyoutonavigatebetweenthelearningmodulesyouhavealreadycompleted.

DOCUMENTS Gives access to the forms.

INSTRUCTIONS Thistabtakestheparticipanttoastaticpagecontainingasummaryofthenavigationinstructions.

MEDIATOOlBAR Toolbarthatdisplaysduringanimations,allowingyoutoplay,pauseorrestartfrom the beginning.

NEXT Thisbuttontakesyoutothenextpage.Itisactiveonlyoncetheactivitiesonthecurrentpage have been completed.

PREVIOUS Thisbuttontakesyoubacktothepreviouspage.

INFORMATION Taballowingyoutodisplayorhideabannercontaininginasummaryoftheinformation sent by a character in the course of a scenario.

PROGRESS BAR Thisbarindicatestheparticipant’sprogressbasedonthetotalnumberofscreens to view.

QUIT Thisbuttonclosesthewebtrainingwindow.

VAlIDATE Click on this button during interactive activities to display feedback.


4.9 Online training learning activities

Theinteractiveactivitiesaredesignedtoshowwhat’snewordifferentaboutagivenform.

Examples of activities contained in the online training:

•Multiple-choicequestions •Imageoverviews

•Drag-and-drop •TrueofFalse

•Roll-downlists •Sortingbycategories

Completion of activities by learnerEach screen must be 100% completed. You cannot go to the next screen before obtaining all the items on the screen.

figure 5: feedback to an incorrect answer (red screen)

figure 6: feedback to a correct answer (green screen)

Thecasestudiespresentedattheendoftheonlinetrainingwillappearrandomly,meaningthatthequestionswill not display in the same order for all brokers, limiting the risk of plagiarism.


5.1 Preparing brokers for the online training

Theagencyexecutiveofficerwillreceivethistrainingbeforetheagency’sbrokersinordertobeable topreparethemtotaketheonlinetraining.Theagencyexecutiveofficermust:

• Explaintothebrokersthepurposeoftheonlinetraining,theprocess,thesystemrequirementsandwheretogethelpincaseofdifficulty;

• Makesureallbrokerscompletetheonlinetraining;

• Ensurebrokerscorrectlyapplywhattheylearninthetraining.

ThereferenceguideentitledPreparation for the online training, on page 80 of this Guide will help agency executive officers prepare.

Where to get help

• Technical support Technicalsupportbyemail([email protected]) will be available to anyone having difficulty navigating in the online training.

• Training content supportA broker who has questions on the training’s content can ask his agency executive officer or contacttheOACIQInfoCentre([email protected]).

5.2 Online training Learning Management System

Theagencyexecutiveofficermustmakesurethatallhisagency’sbrokerscompletethemandatorytrainingprior to the coming into force of the new forms on July 1, 2012. He may use the Learning Management System (LMS) available to view the brokers’ progress on each process and each learning module.

Access to Learning Management SystemThelearningManagementSystemmaybeaccessedviaSynbad (www.oaciq.com).

Data available in the LMSThedataavailableincludestimespentineachlearningmodule,numberofconnectionstotheonlinetraining,date of last visit and progress status.

5 ROLES OF THE AgENCy ExECUTIvE OFFICER

ThechangesmadetotheformsreflecttheamendmentstotheRealEstateBrokerageAct.

TheOACIQistheretosupportyouthroughoutthetransitiontothenewforms.Don’thesitatetoseekhelpby:

• SubmittingyourquestionstoOACIQInfoCentreagents(at450462-9800or1800440-7170);

• Attendingoneofourregularcontinuingeducationsessions.

70 Les nouveautés et les modifications apportées aux formulaires – Manuel du participant

6 CONCLUSION OF MANDATORy CLASSROOM TRAININg


Activity Answer Key


2.2 Activity 1: Drafting an Exclusive brokerage contract – Sale of a chiefly residential immovable excluding co-ownership







REPRESENTED BY


REPRESENTED BY










1.1











BCS 00001

Les Immeubles ABC Inc.

555 du Parc St.Grandville, Qc, J2G 1A9819-555-2244 [email protected]

Celine Bourassa

4037 de la Station St.Grandville, Qc, J2G 1C3819-555-4422 [email protected]

Anthony Smith

X 1 1 1 1

Les immeubles Anthony Smith Inc.

Sucession Anne Tremblayrepresented by Guy Tremblay1234 de l’Eau St, Grandville, QcJ2G 4L9, 819-555-3886

Y 9 9 9 9

TREG 210656-07Province of Quebec 21-06-2015

Principal1 9 5 6 0 6 2 1

Liquidator

2/7


:emaN :emaN












DIMENSIONS AREA




($ ).



4.3 Existing loans:






DATE

¨ m2 ¨ ft2¨ m ¨ ft


BCS 00001

2307 des Églises St. East3 064 312

Grandville QC J2G 1G0

22.55 x 34.44 776.62

------------------------Two hundred ninety-nine thousand-------------------------299 ,000

Clairplus dryer, Clairplus dishwasher, Cyclodust central vacuumClairplus stove, Clairplus refrigerator, Clairplus washer,

2/7


:emaN :emaN












DIMENSIONS AREA




($ ).



4.3 Existing loans:






DATE

¨ m2 ¨ ft2¨ m ¨ ft


BCS 00001

2307 des Églises St. East3 064 312

Grandville QC J2G 1G0

22.55 x 34.44 776.62

------------------------Two hundred ninety-nine thousand-------------------------299 ,000

Clairplus dryer, Clairplus dishwasher, Cyclodust central vacuumClairplus stove, Clairplus refrigerator, Clairplus washer,











OR







OR


($ );

BCS 00001

60-gallon water heater 60-month leasing contract with Thermo+ : $23.28/month

Heatpro heat pump: instalment contract with company Thermopompes Heatpro at $442,01/month.Remaining term: 27 months.

Ad in local classifieds the week of July 15, 2012.

60 days after acceptance of promise to purchase65 days after acceptance of promise to purchase

six 6












OR







OR


($ );

BCS 00001





six 63/7











OR







OR


($ );

BCS 00001





six 6

3.2 Difference between remuneration and costs

Which of the following statements is true? Read the statements and circle your answer.

A) Costs are fees that involve the broker’s work, and remuneration represents the broker’s salary.

B) Costs are expenses that do not involve the broker’s work, and remuneration is the sum paid for work performed by the broker.

Answer: ThecorrectanswerisB).

Costs are expenses that do not involve the broker’s work.

Example:Invoicesforadspublishedinaperiodical

Remuneration is the sum paid for work performed by the broker.

Example: Any fee paid for something done by the real estate broker (over and above the usual marketing activities) new form


3.3 Activity 2: Annex RC – Remuneration and Costs















MANDATORY FORM





RC 00001

V 5 4 3 2 1



---------------------------Three hundred and seventy (advance on costs) -------------------------- 370

LB CP ML

This remuneration will be deducted from the remuneration provided, if applicable, in accordance with clause 7.1 of the contract identified in section 1.

These costs will be in addition to the remuneration agreed to, if applicable, in accordance with clause 7.1 of the contract referenced in section 1.















MANDATORY FORM





RC 00001

V 5 4 3 2 1



---------------------------Three hundred and seventy (advance on costs) -------------------------- 370

LB CP ML

This remuneration will be deducted from the remuneration provided, if applicable, in accordance with clause 7.1 of the contract identified in section 1.

These costs will be in addition to the remuneration agreed to, if applicable, in accordance with clause 7.1 of the contract referenced in section 1.


4.2 Activity 3: Advantages of completing the Declarations by the seller of the immovable form

Inyouropinion,whichofthesestatementsaretrueorfalse?Enteran(X)toindicateyourchoice.

Statement True False

1.The buyer’s broker who receives this form before even drafting a Promise to purchase has all the information he needs to do so. X

2. It provides the necessary transparency for a successful trans-action and considerably reducess the risk of legal action. X

3.

It facilitates the performance of the transaction and minimizes risks by preventing information disclosed or doscovered at the last minute from making the transaction difficult or causing it to fail.

X

4.

The problems declared by the seller minimize the possibility for the buyer to use them as excuses not to follow through on his Promise to purchase if they come up in the course of the pre-purchase inspection.

X

5. The “defects” declared by the seller cannot become grounds for legal action for hidden defects. X


5.2 Activity 4: Drafting a Promise to purchase – Chiefly residential immovable





DIMENSIONS AREA








, broker ,






1/7

¨ m ¨ ft ¨ m2 ¨ ft2


LICENCE NUMBER

PP 00001

Sylvie Smith987 Thérèse St. #3,St-Bruno, QcJ3V 3W4450-461-5454

Monique Desjardins4973 Providence St.Hull, QcJ8Y 3Y5819-555-2002

John Bigras123 Claude St. #5St-Hubert, QcJ3Y 3W3450-923-5555

Richard Regimbald4973 Providence St.Hull, Qc,J8Y 3Y5819-555-2002

Claude Bouffard W 1 1 1 1

Immeubles ABC Inc.

4973 Providence St. Hull1 549 330104.6 X 61.5 6,432.90

Québec J3B 3Y5

[email protected]

[email protected]





DIMENSIONS AREA








, broker ,






1/7

¨ m ¨ ft ¨ m2 ¨ ft2


LICENCE NUMBER

PP 00001

Sylvie Smith987 Thérèse St. #3,St-Bruno, QcJ3V 3W4450-461-5454

Monique Desjardins4973 Providence St.Hull, QcJ8Y 3Y5819-555-2002

John Bigras123 Claude St. #5St-Hubert, QcJ3Y 3W3450-923-5555

Richard Regimbald4973 Providence St.Hull, Qc,J8Y 3Y5819-555-2002

Claude Bouffard W 1 1 1 1

Immeubles ABC Inc.

4973 Providence St. Hull1 549 330104.6 X 61.5 6,432.90

Québec J3B 3Y5

[email protected]

[email protected]




4.2 The IMMOVABLE is not subject OR is subject to Goods and Services Taxes and Québec sales taxes in a proportion of %. Consequently, any tax that may be imposed as a result of the sale and to be collected by the SELLER under applicable tax laws shall, upon the signing of the deed of sale, be remitted by the BUYER to the SELLER for this purpose.


) $( srallod












TOTAL PRICE $









5 ,000

55, 000

239, 000

------------

------------

299, 000

239 ,000

1

5

15

25







) $( srallod












TOTAL PRICE $









5 ,000

55, 000

239, 000

------------

------------

299, 000

239 ,000

1

5

15

25






) $( srallod












TOTAL PRICE $









5 ,000

55, 000

239, 000

------------

------------

299, 000

239 ,000

1

5

15

25



OR














OR



9.1




DATE


July 9, 2012

10

˚ Declarations by the seller of the immovable DS-12345˚ Leasing contract – water heater˚ Instalment sales contract – wall-mounted air conditioning unit

5




OR














OR



9.1




DATE


July 9, 2012

10

˚ Declarations by the seller of the immovable DS-12345˚ Leasing contract – water heater˚ Instalment sales contract – wall-mounted air conditioning unit

5







OR





to pay directly to , agency or broker of the SELLER, the remuneration amount set out in the brokerage contract to sell awarded by the SELLER from the available sums payable to the SELLER after payment of any prior or hypothecary claim and any disbursements or fees incurred by the notary to cancel these claims. Upon instruction from the agency or broker of the SELLER, the notary shall pay a portion of this remuneration to the agency or broker identi ed in clause 2.1.

11.5 INCLUSIONS






DATE

PP 00001

September 1, 201212 00

Les maisons de chez nous inc.







OR





to pay directly to , agency or broker of the SELLER, the remuneration amount set out in the brokerage contract to sell awarded by the SELLER from the available sums payable to the SELLER after payment of any prior or hypothecary claim and any disbursements or fees incurred by the notary to cancel these claims. Upon instruction from the agency or broker of the SELLER, the notary shall pay a portion of this remuneration to the agency or broker identi ed in clause 2.1.

11.5 INCLUSIONS






DATE

PP 00001

September 1, 201212 00

Les maisons de chez nous inc.


8.0 How other new forms are used

What form can a broker use when selling a chiefly residential immovable held by a financial institution? Circle your answer.

A) AnOACIQBrokerage contract – Sale of a chiefly residential immovable containing less than 5 dwellings excluding divided and undivided co-ownership mandatory form.

B) Thesalescontractcreatedbythebroker.

Answer:Althoughnotmandatoryinthiscase,thebrokermayusetheOACIQBrokerage contract – Sale form. Otherwise, the broker may create his own Brokerage contract – Sale, as long as is contains the mandatory statements required under the Regulation respecting contracts and forms.


Online training on additions and changes to forms:

• FromApril23,toJune30,2012;

• DesignedtobedonefromacomputerviaInternet;

• AccessfromSynbad (www.oaciq.com);

• Approximateduration:4hours;

• Brokerswillusetheirnewly-acquiredknowledgeandtheirexperiencebyworkingthrough simulations.

By completing the online training, brokers will learn to:

• Identifywhentouseacertainformorsectionofform;

• Completeaformorsectionofformbasedonaspecificsituation;

• Recognizewhatischangedbetweentheoldandthenewversionofanygivenform;

• Cross-referenceinformationbetweentwoformsorsectionsofforms;

• Explainthenewconceptsthatledtoadditionsinthenewforms;

• Actproperlybasedonaclient’sreactions.

Advantages

• Minimumtimeandtravelconstraints;

• Theonlinetrainingallowsbrokerstolearnontheirowntimeandattheirownpace;

• Thetrainingcontentisaccessibleanytime,anywhere;

• Thelearnercaninterruptalearningsessionandtakeitupinthesameplacewhenready;

• Thetrainingenvironmentisfun,interactiveanddynamic.

REFERENCE gUIDE PREPARATION FOR THE ONLINE TRAININg


Help in case of difficulty

Technicalsupport:

• Computersupportviaemailwillbeavailableincaseofproblemnavigatingwithinthetrainingsoftware ([email protected]).

Content support

• Theagencyexecutiveofficerisabletoanswerquestionsontheforms’content;

• Iftheanswertoaquestioncannotbefound,thebrokercancalltheOACIQInfoCentre at 450 462-9800 or 1 800 440-7170 from outside, or at [email protected].

System requirements for online training

System requirements:

• PCorMac

• PC:Windows98SEorhigher

• Mac:OSXorhigher

• Processor:Pentium1GHz

• Systemmemory:256MBRAM

• Harddrive:128MBavailable

• Screenresolution:1024x768

• Videocard:16bitsorhigher

• Internetconnection:Recommendedintermediatespeed(128Kbitsorhigher)recommended

• AdobeFlashPlayer4,version8orhigher

• Webbrowsing

Web browser:

• InternetExplorer6orhigher

• Firefox3orhigher

• Safari3orhigher

• Chrome5orhigher

• Opéra


Current email address in the OACIQ records

Brokers must update their personal information by accessing My record on Synbad and clicking on Edit.

Theseaddressesareusedtosendautomaticemailalertstobrokersto:

• Indicatethataparticipanthasnotyetbegunthetraining;

• Sendamessageofencouragement;

• Sendremindersofnumberofdaysremainingtocompletethetraining.

NEW ELEMENTS AND AMENDMENTS TO FORMS · 8 New elements and amendments to forms – Participant’s...

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