Know your client Know your client More than

Know your client

Know your client More than identity: • Is this the person who should be giving instructions? • Are there others with an interest who should be consulted?

Know your client Examples: • Is property owned by two or more joint tenants? • Is one person acting on behalf of a corporation with multiple directors?

Know your client Single registered owner: • Does client’s spouse or ex-spouse have an interest in transaction? • Do creditors have an interest in transaction?

Know your client Elderly or ill clients: • Issues of competency, duress or undue influence • Is a third party acting as intermediary?

Know your client It’s up to you to: • Be alert • Ensure the proper parties have been consulted • Ensure your authorization to act comes from the right parties

Know your client Corporations: • • Comply with Fintrac obligations Do a Corporate Registry search Ask for more documentation if necessary Confirm the person acting is authorized to do so.

Know your client Consult a lawyer or encourage your client to do so if: • Company listed as registered owner is not the one who signed the contract • The company has been struck from the Registry (as shown in BC Corporate Summary)

Know your client Witnesses: • Ensure all contracts and addendums are in writing, signed by the parties to the contract and properly witnessed • NEVER sign as witness if you were not present to witness the signature.

Know your client Signatures: • If signing on behalf of client, have written authorization, Rule 5 -3 • NEVER imitate a client’s signature • Sign “As agent for” the client • Confirm consent for electronic signatures

Know your client Marital status: • Verify client’s marital status before listing property • Former spouse may have an interest. • Obtain a copy of any agreements. • Consult a lawyer.

Know your client Powers of Attorney: • Treat with caution • Consult a lawyer to establish validity of Po. A • Don’t act as your client’s Po. A

Know your client Capacity to enter into a contract: • Person must be able to understand nature of contract, and its effect on their own circumstances. • If concerned, consult a lawyer

Know your client Protect yourself: • Remember who you’re acting for • Recognize when details are testing your limit of expertise • Recognize when your client will benefit from other professional advice

Know your client Other resources: • “Knowing your client” in September 2018 issue of Risk Report • Professional Standards Manual • Your managing broker • A lawyer

Questions? Thank you.