TRESA: Customer relationships/Agreements not permitted

RECO published the following:

“The definition of customer, along with the related provisions in the legislation, are removed. This means that a party to a trade will be either a client or a self-represented party. Self-represented party does not replace customer. Services can only be provided to clients.

Under TRESA, customer agreements cannot be entered into, amended, or extended. Existing customer agreements, regardless of the end date in the agreement, will automatically expire 120 days after TRESA comes into force.”


The last date for a Customer Service Agreement would be 29 July 2023.

So, what happens after that:

  1. Does it automatically expire?
  2. Does it automatically become a Client Services Agreement?
  3. Does the arrangement deteriorate into a relationship with a Self-Represented Party?

The Act doesn’t actually deal with that issue. So, a real estate agent should effective 30 July 2023, provide their former Customers with the choice:

  1. Client Services, or
  2. Self-Representation.

In fact, commencing now any Customer Service  Agreement should document the selection to become effective 30 July 2023.

Brian Madigan LL.B., Broker

Comments 1

  1. Post

    With the set back to 1 December 2023, this means Customer Serice will end on 30 March 2023. Remember 2024 is a leap year. So, the option arises on 31 March 2024.

    This issue should be dealt with now (early September) because many Listings signed now will run over into early December,

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