Transition to Designated Agency
Following years of investigation and discussions across the province, designated agency will become an industry standard in BC on June 1, 2012.
In January of 2012, BCREA and the Victoria Real Estate Board (VREB) began the designated agency pilot project. With the pilot project now complete, the Association will be facilitating workshops with Brian Taylor, the lawyer who helped update corresponding standard forms, at real estate boards across the province. To help REALTORS® and brokerages adjust to these changes, these workshops will be held throughout March, April and May.
What is the essential change? In contrast to limited dual agency, the essence of the “designated agency” system is that the brokerage has contractual duties to the buyer or seller who has engaged it and agency duties are provided by the REALTOR® appointed by the brokerage as the "Designated Agent" for that client.
REALTORS® should note that the system of designated agency is merely a modification of the system of limited dual agency. It does not affect the system of assumed buyer agency and only impacts transactions where the brokerage and its licensees act for more than one party to the transaction. It is designed to reflect the current commercial practice being followed by brokerages, licensees and the public and little or no change in the day to day practice of licensees is expected.
To provide clarity about these changes and the transition process, BCREA has created a designated agency website. REALTORS® and brokers can find background information about how and why these changes have occurred, explanations of revised standard forms, as well as practice tips and FAQ’s for REALTORS®. Updated standard forms will be accessible on WEBForms™ for the official start of designated agency as of June 1. To view the designated agency website, visit http://web.bcrea.bc.ca/da/.
To register for a designated agency workshop in your area, please contact your local real estate board.
