Humber/Ontario Real Estate Course 1 Exam Practice

What policy can brokerages implement to enhance PIPEDA compliance?

1. Electrical Appliance Safety

2. Implementing Large Cash Transaction Reports

3. Internet Data Retention Policy

4. Preparing an information collection checklist

5. Privacy Policy

6. Transactional Records Policy

The correct answer is: Preparing an information collection checklist

The most effective policy that brokerages can implement to enhance compliance with the Personal Information Protection and Electronic Documents Act (PIPEDA) is the preparation of an information collection checklist. This checklist can serve as a valuable tool in ensuring that the brokerage systematically collects only the information that is necessary and that it does so in a manner compliant with privacy regulations. By outlining what data is to be collected and from whom, the checklist helps to ensure transparency and accountability in the data collection process. In essence, an information collection checklist lays the groundwork for responsible data management practices, aligning with the principles of PIPEDA which emphasize the importance of informed consent and the need for organizations to be clear about their purposes for collecting personal information. This proactive approach to data gathering can help to protect clients' privacy rights and minimize the risk of non-compliance with privacy laws. Other options, while they might have relevance in various aspects of a brokerage's operations, do not directly focus on enhancing compliance with PIPEDA in the same comprehensive and targeted manner as the checklist does.