JAN-04-99 11,40 FROM,CALGARY BUSINESS SERVICES
PAGE
2/4
THE REAL ESTATE COUNCIL OF ALBERTA
IN THE MATTER OF Section 35(5) and 35(7) of the Bylaws made pursuant to the Real Estate Act and Section 41 of the Real Estate Ad, S.A. 1995, c. R-4..S
AND IN THE MA TIER OF an Appeal to a Hearing Panel of an Administrative Penalty assessed against James Y·C Lam, Designated Representative of Bravo Realty Limited ola Century 21 Bravo Realty
BACKGROUND This is an appeal to a hearing panel of an Administrative Penalty assessed against James Y-C Lam, designated representative of Bravo Realty Limited ola Century 21
Bravo Realty (hereinafter f4Century 21 Bravo Realty"). The appeal is heard pursuant to section 35 of the by~laws of the Real Estate Act.
The Administrative Penalty was assessed as a result of a determination by the Executive Director that there is sufficient evidence of conduct deserving of sanction against Mr. lam and Century 21 Bravo Realty in that they breached Rule 23(2} of the Real Estate Act.
It is the position of the Executive Director that Mr. Lam, as the designated representative of Century 21 Bravo Realty, is responsible for ensuring and confirming that was registered as a real estate salesperson with the Real Estate Council of Alberta and that all fees and other amounts were paid in accordance with the Rules and by-laws of the Real Estate Act prior to employing to trade in real estate.
FACTS AND ISSUES The conduct giving rise to the Executive Directors decision to assess an Administrative Penalty was that Mr. Lam and Century 21 Bravo Realty employed to trade in real estate when he was unauthorized to do so.
commenced employment with Century 21 Bravo Realty on April 27, 1997 as a real estate salesperson. Mr. Lam requested that submit an application for salesperson registration to the Real Estate Council of Alberta, however failed to do so. On or about that same day, commenced trading in real estate and continued to do so for approximately three months. Mr. Lam did not make an inquiry to ensure that was authorized to trade in real estate.
JAN-04-99 11.40 FROM,CALGARY BUSINESS SERVICES 2
ID,+
PAGE
In his submissions, Mr. Lam admits that traded in real estate on behalf of Century 21 Bravo Realty when he was not authorized to do so. Me Lam also admits that at the relevant time he did not follow up and ensure that was registered with the Real Estate Council of Alberta.
Century 21 Bravo Realty has subsequently gone on to RECA's electronic registration procedure under which Mr. Lam now clearly knows whether or not Century 21 Bravo
Realty's salespersons are registered with RECA_ The administrative deficiency revealed by this case has, therefore, been remedied.
In his Notice of Appeal dated November 19, 1998, Mr. Lam sets out the following three reaSOns for his appeal:
1. He instructed to attend the Real Estate Council of Alberta to submit his application and pay his fees and that he assumed he would do so.
2_
registered with the Calgary Real Estate Board and it was reasonable to assume that he also would register with the Real Estate Council of Alberta_ Further, he submits that the Calgary Real Estate Board could have advised the Real Estate Council of Alberta that was trading in real estate.
3. The format and wording of the old applications for registration of a salesperson. leaves an impression that the salesperson would already be hired at the time he completed the application and as such all agents who completed the form would necessarily be in breach of the Real Estate Ad.
The Real Estate Act Rule 23(2) of the Real Estate Act provides as follows: No agent shall employ a person to trade in real estate or deal as a mortgage broker, as the case may be, unless
(a) that person meets the requirements of the Act, these Rules and the by-laws, and; (b) all levies, assessments, premiums, dues, administrative penalties and other amounts that are payable under or pursuant to the Act, or these Rules or the bylaws or any predecessor enactments in respect of that person have been paid.
Findings We find that traded in real estate on behalf of Century 21 Bravo Realty when was not authorized to do so. As such, Century 21 Bravo Realty and James Lam, as
JAN-04 99 11,41 FROM,CALGARY BUSINESS SERVICES 3
ID,+
the designated representative breached Rule 23(2} of the Real Estate Act. conduct deserving of sandion.
PAGE
This is
It is Me Lam's responsibility, as a designated representative, to ensure that his salespersons are authorized to trade in real estate with the Real Estate Council of Alberta. It is not enough for Mr. Lam to assume that his salesperson will become authorized, nor to rely upon the Calgary Real Estate Board to notify the Real Estate Council of Alberta of the status of Mr. Lam's salespersons. Further as did not submit an application for registration to the Real Estate Council of Alberta, the issue of the application is irrelevant to this appeal.
DECISION Pursuant to section 35(7) of the by-laws made pursuant to the Real Estate Act, we hereby confirm the Administrative Penalty of $1,000.00.
We further award costs of the appeal against Mr. Lam in the amount of $1,950.00, a breakdown of which is attached hereto as schedule "-A".
Pursuant to sedion 34(1) of the by-laws, the Administrative Penalty and costs must be paid within thirty (30) days of receipt of this Deci<
DATED this
daYOfJANUARY
Thomas O. (Tim) Davis Hearing Panel Chairman
Darrell W. Cook Hearing Panel Member
Rick Campos Hearing Panel Member
01/05/99
TUE 13:06 FAX 4032338115
GIBRALTAR 1I10RTGAGE LTD
~002
3
the design 3ted representative breached Rule 23(2) of the Real Estate Act. conduct de serving of sanction.
This is
It is Mr. I.am's responsibility, as a designated representative, to ensure that his salesperso 1$ are authorized to trade in real estate with the Real Estate Council of Alberta. It is not enough for Mr. Lam to assume that his salesperson wHI become authorized, nor to rely upon the Calgary Real Estate Board to notify the Real Estate Council of Alberta of the status of Mr. Lam's salespersons. Further as did not submit an ;3 pplication for registration to the Real Estate Council of Alberta, the issue of the appliea :ion is irrelevant to this appeal.
DECISION Pursuant tl) section 35(7) of the by-laws made pursuant to the Real Estate Act, we hereby can Firm the Administrative Penalty of $1,000.00.
We further award costs of the appeal against Mr, Lam in the amount of $1,950.00, a breakdown of which is attached hereto as schedule "An.
Pu rsuant t( I section 34{ 1) of the by-laws, the Administrative Penalty and costs must be paid within thirty (30) days of receipt of this Decision.
DATED thi~i ____d ay of JANUARYj
1999.
Thomas O. (Tim) Davis Hearing Panel Chairman
Darrell W. Cook Hearing Panel Member
Rick Campos Hearing Panel Member
01/04/99 ~ON 10:40 FAX 403 ZZ8 3065
RECA
~004
3
the designated representative breached Rule 23(2) of the Real Estate Act. This is conduct deseIVin9 of sanction.
It is Mr. Lam's reaponsibility, as a designated representatiVe. to ensure that his salespersons are authorized to trade in real estate with the Real Estate Council of Alberta, It is not enough for Mr. Lam to assume that his salesperson will become authorized, nor to rely upon the Calgary Real Estate BQard to notify the Real Estate Council of Alberta of the status of Mr, Lam 1 s salespersons. Further as did not submit an application for registration to the Real Estate Council of Alberta. the issue of the application is irrelevant to this appeal.
DECISION Pursuant to section 35(7) of the by-laws made pursuant to the Real Estate Act, we hereby confirm the Administrative Penalty of$1 ,000.00.
We further. award costs of the appeal against ML Lam in the amount of $1,950.00, a breakdown of which is attaohed hereto as schedule "A",
Pursuant to sedion 34(1) of the by-laws. the Administrative Penalty and costs must be paid within thirty (30) days of receipt of this Decision.
DATED this :tf'i{
day of JANUARY. 1999.
Thomas O. (Tim) Davis Hearing Panel Chairman
lO'd
Schedule
Pursuant to s. 30 of the Bylaws made pursuant to the Real Estate Act, the costs are determined in accordance with the following:
30(1)(b)
(ii) General Hearing Costs including but not limited to disbursements, document preparation, legal representative of Council
(iv) Hearing administration costs including but not limited to hearing secretary salary, honoraria of hearing panel members
(v) Legal fees (vi) Other miscellaneous costs re: Notice of Hearing
TOTAL
$ 410.00
$ 540.00
$800.00 $ 200.00
$1,950.00
appeal\366-98\9812\005.schedule