Anyone willing to try and interpretate the following Ontario regulation 580/05 which is s.34 and reads as follows;

“A registrant shall ensure that forms used by the registrant in the course of a trade in real estate are current.”

This piece of legislation is both imprecise and ambiguous as it doesn't specify whose forms they are referring to or define what is current or isn't current.

"Current forms" without clarity is a term like "satisfactory finacing"

Some forms currently in use are only for member of a trade association and are protected under the Compright Act.

Under the Real Estate and Business Brokers Act, 2002 registrants are not compelled to be a member of a trade association.

Correction (typo)

I had meant to say protected under the Copyright Act.

Without any specific form mentioned, it could very well mean your current form or my current form.

I would find it amazing to learn that a buyer's agent in fulfilling his or her fiduciary duty to their principal would be compelled to use, for example the current standard form of Agreement of Purchase and Sale without insertions, deletions and/or amendments and thus making it distinctly different from a standard form.

s.34 might be unenforcible, unless authorities could clearly demostrate to the court the precise forms and the wording therein that s.34 applies to and their means and methods of establishing currency.

Should that be the case. then it may just raise some issues of contractual interference with respect to the Agreement of Purchase and Sale and the Law of Contracts.

Another issue might be whether or not it has the effect of a restraint of trade and contrary to the Competition Act.

Poorly drafted regulations, are usually repealed, or amended.

IMPORTANT NOTICE: This information is provided as basic educational information by the author and is not a substitute for the advice of an expert and/or the advice of a Lawyer. There is NO representation as to legality, accuracy, correctness of the herein information and the reader is strongly urged to consult a lawyer in the relevant jurisdiction to ensure accuracy before acting on this information.

Update on clarification of RECO s.34

Ontario regulations 580/05, s.34 p.255 of the Guide To REBBA 2002

“A registrant shall ensure that forms used by the registrant in the course of a trade in real estate are current.”

Clarification:
"The regulation simply requires as stated, that any forms you use to support trading in real estate are current, regardless of their origin. Forms you develop or utilize are contracts, the content of which must be current and not conflict in any way with REBBA 2002, or any laws or legislation applicable to the transaction the form is in support of. While organizations like OREA have developed standard forms to be used by their members, these forms do not form part of REBBA 2002. They are simply a form that an organization has developed, presumably had vetted by their counsel and publishes for their use. They are not forms sanctioned by RECO, as published forms do not form part of REBBA 2002."

Commentary: One might therefore conclude that any form which is relevant and/or material to the current real estate transaction at hand, are deemed permissible, providing it is not in conflict with RECO and/or the applicable laws and legislation.

IMPORTANT NOTICE: This information is provided as basic educational information by the author and is not a substitute for the advice of an expert and/or the advice of a Lawyer. There is NO representation as to legality, accuracy, correctness of the herein information and the reader is strongly urged to consult a lawyer in the relevant jurisdiction to ensure accuracy before acting on this information.