The Real Estate Act, and the regulatory model it establishes for RECA, is based on the self-regulatory model of traditional professions such as accountants, engineers, doctors and lawyers. While this is the case, there is one component that has been missing from RECA’s self-regulatory model: mediation.
While the Real Estate Act does not prohibit mediation, it requires all complaints meeting minimum complaint requirements to be investigated. As a result, any mediation initiative must be agreed to by all parties in writing.
RECA’s new mediation initiative is called the Voluntary Broker Resolution Process (VBRP). The intention of the VBRP is to resolve complaints involving breaches that are minor in nature.
Under the VBRP, all parties, the complainant, the industry member subject to the investigation and the broker at the time of the events, must agree to participate in writing. This process is a type of complaint resolution process that will be managed by the broker. If the complaint is resolved through the VBRP, the complaint is withdrawn and the investigation is terminated.
The VBRP is not currently available for complaints related to real estate appraisers and candidates. RECA is in discussions with appraisal associations to determine whether they would be interested in such a resolution process for real estate appraisal professionals.
Guide to the Voluntary Broker Resolution Process for Brokers