Disclosure of Material Facts

Ten Mistakes to Avoid When Drafting Information Disclosure Statements

Ontario

A real estate agent must investigate, determine and verify the material facts, and then disclose such facts to “their” clients and customers, not other people’s clients and customers, just their own.

So, the murder, if you know about it, and you’re the Listing Agent, you tell the Seller.

If you’re the Buyer’s Agent, then you tell the Buyer. And, that’s it; not the other side in a deal.

In error, many real estate agents feel compelled to reveal information which has been provided to them in confidence. They are supposed to keep it secret. That’s the obligation of “confidentiality” imposed by one’s fiduciary duties.

Don’t extend the mantra: “disclose, disclose, disclose” to blab about secrets.

This would be one of the best ways to get sued.

Brian Madigan LL.B., Broker

www.OntarioRealEstateSource.com

Leave a Reply

Your email address will not be published.