Humber/Ontario Real Estate Course 1 Exam Practice

Which statement about brokerage inspections and Discipline Committee activities is NOT correct?

1. An inspector must have a consumer complaint before inspecting

2. Broker of record must provide requested documents for RECO inspections

3. Discipline Committee hears infractions of RECO Code of Ethics

4. A hearing panel consists of at least three Discipline Committee members

5. Inspections can be routine without complaints

6. Records must be available during inspections

The correct answer is: An inspector must have a consumer complaint before inspecting

The statement regarding the requirement for an inspector to have a consumer complaint before conducting an inspection is not correct. In fact, inspections by regulatory bodies can be initiated for various reasons, including routine checks or compliance assessments, regardless of whether a consumer complaint has been filed. This ensures that brokerages adhere to regulatory standards and that issues can be identified proactively. In contrast, the other statements accurately reflect the practices and regulations surrounding brokerage inspections and the activities of the Discipline Committee. For instance, the broker of record's responsibility to provide requested documents for inspections is crucial for transparency and compliance during the inspection process. Similarly, the Discipline Committee's role in hearing infractions is fundamental to maintaining ethical standards within the industry. The structure of the hearing panel ensures fair representation and thorough examination of cases, while the necessity for records to be available during inspections supports accountability and regulatory oversight. Additionally, routine inspections help maintain standards and protect the interests of consumers, independent of any specific complaints.