Humber/Ontario Real Estate Course 2 Exam Practice

What happens if a buyer acts within the holdover period but the agreement has expired?

1. Obligation to pay full remuneration

2. No obligation due to property being a for sale by owner

3. Criteria met for paying remuneration

4. No obligation if introduced by another agent

5. Obligation to purchase through initial brokerage

6. No remuneration as BRA expired

The correct answer is: Criteria met for paying remuneration

In this scenario, the correct answer is C because if a buyer acts within the holdover period but the agreement has expired, the criteria are met for paying remuneration. This means that even though the agreement has expired, if the buyer ends up purchasing a property that they were introduced to during the term of the agreement, the initial brokerage is still entitled to receive remuneration according to the terms outlined in the Buyer Representation Agreement (BRA). Options A, B, D, E, and F do not accurately reflect the situation described. Option A implies an obligation to pay full remuneration regardless of the specific circumstances, which is not always the case. Option B suggests that there is no obligation due to the property being a for sale by owner, which is not directly related to the buyer's actions within the holdover period. Option D states there is no obligation if introduced by another agent, which is not relevant to the expiration of the agreement. Option E implies an obligation to purchase through the initial brokerage, which may not always be the case. Option F states that there is no remuneration as the BRA expired, which does not consider the holdover period's implications.