UBC Sub Mortgage Broker Master Set
common law - ANS-a system of law made up of principles and
rules of action based upon the ancient
customs and usages of the people of a
nation which have been recognized, affirmed
or enforced by the courts
stare decisis - ANS-literally, "let the former decision stand" ‑ to
abide by prior decisions and not to disturb
the doctrine of the courts that, when the
court has once laid down a principle of law
applicable to a certain state of facts, it will
adhere to that principle, and apply it to all
future cases where the facts are substantially
the same, regardless of whether the parties
and property are the same
equity (in common law) - ANS-the concept of justice being administered
by the Courts according to fairness as
contrasted with the strictly formulated rules of
common law. In law the term "equity" denotes
the spirit and habit of fairness, justness, and
right dealing which would regulate interaction
of person with person
specific performance - ANS-the court, rather than
granting damages in lieu of
performance, orders that the
terms of the contract be carried
out by the party in default
injunction - ANS-a court order which either
restrains a party from doing
something or requires a party
to do something
private law - ANS-the law that deals with disputes
between two or more individuals
public law - ANS-the law that regulates disputes
between individuals and the public
as a whole (i.e., the state). The term
,"public" may be: (i) general (applying
to all persons within the jurisdiction);
(ii) local (applying to a geographical
area); (iii) special (relating to an
organization or authority charged
with a public interest)
SMALL CLAIMS COURT - ANS-This court hears cases involving claims of $25,000 or less.
Territorial limitation: a claim must be
filed in the Small Claims Registry nearest to where the defendant lives or to where the claim
arose.
BC SUPREME COURT - ANS-A Supreme Court judge can hear cases involving any amount.
No territorial limitation exists.
BC COURT OF APPEAL - ANS-3, 5 or 7 judges hear appeals from the BC Supreme Court. The
appeal considers legal issues only. No evidence is reheard. The decision of the majority of the
judges decides the matter.
SUPREME COURT OF CANADA - ANS-With the consent of the Court an appeal on legal
issues only will be heard. No evidence is reheard.
Between 3-9 judges hear the appeal. The decision of the majority of the judges decides the
matter.
Cause of Action Arises - ANS-A civil wrong (e.g., breach of contract or tort) is committed. The
standard of proof used in a civil case is on a balance of probabilities.
Commencing the Action and Pleadings - ANS-The injured party consults with a lawyer. The
lawyer prepares and files a notice of civil claim, naming the injured party as the plaintiff and the
wrongdoer as the defendant. The defendant answers with a response to civil claim. The notice
of civil claim and response to civil claim outline the case that each intends to present if the
matter goes to trial.
An examination for discovery vs discovery of documents. - ANS-An examination for discovery is
different from a discovery of documents. Discovery of documents is the process under which
each party is required to provide all relevant
documents to the other party. Examination for discovery is a "mini-trial" that takes place
between the parties to the dispute and their lawyers. Each party can examine the opposite party
under oath, and the evidence is recorded by a court reporter.
Trial - ANS-A judge alone or a judge and jury hear all of the evidence and gives the decision at
a later date.
,Judgment - ANS-The defendant will either be found liable or not liable to the plaintiff. The
successful party, at the discretion of the court, might be awarded "costs", payable by the losing
party, which will partially cover the legal expenses of bringing the action.
execution - ANS-the process of commencing proceedings to collect an amount owing by reason
of a judgment. Plaintiff could have a writ of execution. A writ of execution is a court order
granted to put in force a judgment of possession obtained by a plaintiff from a court. When
issuing a writ of execution, a court typically will order a sheriff or other similar official to take
possession of property owned by a judgment debtor no the plaintiff. Court costs are meant to
partially reimburse the legal expenses of the party to whom they are awarded; A judgment
creditor may apply to court for a judicial sale of the land. Registering a judgment against land
does not prevent the subsequent sale of the land. Garnishment is only available against a
portion of a judgment debtor's wages (max 70%).
mortgage broker - ANS-(a) carries on a business of lending money secured in whole or in part
by mortgages, whether the money is the mortgage broker's own or that of another person;
(b) holds himself or herself out as, or by an advertisement, notice or sign indicates that he or
she is, a mortgage broker;
(c) carries on a business of buying and selling mortgages or agreements for sale;
(d) in any one year, receives an amount of $1,000 or more in fees or other consideration,
excluding legal fees for arranging mortgages for other persons;
(e) during any one year, lends money on the security of 10 or more mortgages; or
(f ) carries on a business of collecting money secured by mortgages.
The Registrar interprets the phrase "arranging mortgages" in section 1(d)
submortgage broker - ANS-means any person who, in British Columbia, actively engages in any
of the things referred to in the definition of mortgage broker and is employed, either generally or
in a particular case, by, or is a director or a partner of, a mortgage broker.
disclosure statement (cost of credit) - ANS-a statement that must be given to a borrower
incurring an obligation under a credit agreement as required by Part 5 of the Business Practices
and
Consumer Protection Act. The Business Practices and Consumer Protection Act=s definitions of
deceptive and unconscionable acts or practices include oral, visual, as well as written
statements that occur before, during or after a transaction.
The BPCPA only applies to consumer transactions (i.e., those primarily used for personal, family
or household purposes). Some of a Mortgage broker's customers, such as institutional
investors, would not
be protected under the BPCPA provisions. Section 10(2) of the BPCPA gives a court
considerably broad powers to reopen any transaction it considers unconscionable and to alter
any or part of the arrangement,
including relieving obligations, ordering money to be returned, or requiring compensation to be
paid.
, arm's-length transaction - ANS-transaction where the parties are
acting independently of each other
and have no relationship with each
other that would affect each party's
ability to act in their own interest
designated individual (DI) - ANS-the registered submortgage
broker who is responsible for
ensuring proper supervision,
registration, and recordkeeping
of all employees and transactions
of the mortgage broker, as well
as managing the mortgage
broker's year-end financial filings,
registration application, and
relevant information
trust account - ANS-an account where money is
deposited by one for the benefit
of another. These funds are
devoted to a particular purpose
and cannot or should not be
diverted for other purposes
fiduciary - ANS-A person who holds a position of
trust with respect to someone else
and is obliged, by virtue of the
relationship of trust, to act solely
in the other person's benefit. Mortgage brokers owe a duty of utmost good faith to their clients.
This is called a fiduciary duty.
immobile - ANS-incapable of being moved
externalities - ANS-costs or benefits that are
enjoyed or suffered by
people other than those
who have provided them
estate - ANS-a right to possess and use land
for a period of time. The period
of time could be indefinite
(e.g., a fee simple estate) or
predetermined (e.g., a life
estate or a leasehold estate)
common law - ANS-a system of law made up of principles and
rules of action based upon the ancient
customs and usages of the people of a
nation which have been recognized, affirmed
or enforced by the courts
stare decisis - ANS-literally, "let the former decision stand" ‑ to
abide by prior decisions and not to disturb
the doctrine of the courts that, when the
court has once laid down a principle of law
applicable to a certain state of facts, it will
adhere to that principle, and apply it to all
future cases where the facts are substantially
the same, regardless of whether the parties
and property are the same
equity (in common law) - ANS-the concept of justice being administered
by the Courts according to fairness as
contrasted with the strictly formulated rules of
common law. In law the term "equity" denotes
the spirit and habit of fairness, justness, and
right dealing which would regulate interaction
of person with person
specific performance - ANS-the court, rather than
granting damages in lieu of
performance, orders that the
terms of the contract be carried
out by the party in default
injunction - ANS-a court order which either
restrains a party from doing
something or requires a party
to do something
private law - ANS-the law that deals with disputes
between two or more individuals
public law - ANS-the law that regulates disputes
between individuals and the public
as a whole (i.e., the state). The term
,"public" may be: (i) general (applying
to all persons within the jurisdiction);
(ii) local (applying to a geographical
area); (iii) special (relating to an
organization or authority charged
with a public interest)
SMALL CLAIMS COURT - ANS-This court hears cases involving claims of $25,000 or less.
Territorial limitation: a claim must be
filed in the Small Claims Registry nearest to where the defendant lives or to where the claim
arose.
BC SUPREME COURT - ANS-A Supreme Court judge can hear cases involving any amount.
No territorial limitation exists.
BC COURT OF APPEAL - ANS-3, 5 or 7 judges hear appeals from the BC Supreme Court. The
appeal considers legal issues only. No evidence is reheard. The decision of the majority of the
judges decides the matter.
SUPREME COURT OF CANADA - ANS-With the consent of the Court an appeal on legal
issues only will be heard. No evidence is reheard.
Between 3-9 judges hear the appeal. The decision of the majority of the judges decides the
matter.
Cause of Action Arises - ANS-A civil wrong (e.g., breach of contract or tort) is committed. The
standard of proof used in a civil case is on a balance of probabilities.
Commencing the Action and Pleadings - ANS-The injured party consults with a lawyer. The
lawyer prepares and files a notice of civil claim, naming the injured party as the plaintiff and the
wrongdoer as the defendant. The defendant answers with a response to civil claim. The notice
of civil claim and response to civil claim outline the case that each intends to present if the
matter goes to trial.
An examination for discovery vs discovery of documents. - ANS-An examination for discovery is
different from a discovery of documents. Discovery of documents is the process under which
each party is required to provide all relevant
documents to the other party. Examination for discovery is a "mini-trial" that takes place
between the parties to the dispute and their lawyers. Each party can examine the opposite party
under oath, and the evidence is recorded by a court reporter.
Trial - ANS-A judge alone or a judge and jury hear all of the evidence and gives the decision at
a later date.
,Judgment - ANS-The defendant will either be found liable or not liable to the plaintiff. The
successful party, at the discretion of the court, might be awarded "costs", payable by the losing
party, which will partially cover the legal expenses of bringing the action.
execution - ANS-the process of commencing proceedings to collect an amount owing by reason
of a judgment. Plaintiff could have a writ of execution. A writ of execution is a court order
granted to put in force a judgment of possession obtained by a plaintiff from a court. When
issuing a writ of execution, a court typically will order a sheriff or other similar official to take
possession of property owned by a judgment debtor no the plaintiff. Court costs are meant to
partially reimburse the legal expenses of the party to whom they are awarded; A judgment
creditor may apply to court for a judicial sale of the land. Registering a judgment against land
does not prevent the subsequent sale of the land. Garnishment is only available against a
portion of a judgment debtor's wages (max 70%).
mortgage broker - ANS-(a) carries on a business of lending money secured in whole or in part
by mortgages, whether the money is the mortgage broker's own or that of another person;
(b) holds himself or herself out as, or by an advertisement, notice or sign indicates that he or
she is, a mortgage broker;
(c) carries on a business of buying and selling mortgages or agreements for sale;
(d) in any one year, receives an amount of $1,000 or more in fees or other consideration,
excluding legal fees for arranging mortgages for other persons;
(e) during any one year, lends money on the security of 10 or more mortgages; or
(f ) carries on a business of collecting money secured by mortgages.
The Registrar interprets the phrase "arranging mortgages" in section 1(d)
submortgage broker - ANS-means any person who, in British Columbia, actively engages in any
of the things referred to in the definition of mortgage broker and is employed, either generally or
in a particular case, by, or is a director or a partner of, a mortgage broker.
disclosure statement (cost of credit) - ANS-a statement that must be given to a borrower
incurring an obligation under a credit agreement as required by Part 5 of the Business Practices
and
Consumer Protection Act. The Business Practices and Consumer Protection Act=s definitions of
deceptive and unconscionable acts or practices include oral, visual, as well as written
statements that occur before, during or after a transaction.
The BPCPA only applies to consumer transactions (i.e., those primarily used for personal, family
or household purposes). Some of a Mortgage broker's customers, such as institutional
investors, would not
be protected under the BPCPA provisions. Section 10(2) of the BPCPA gives a court
considerably broad powers to reopen any transaction it considers unconscionable and to alter
any or part of the arrangement,
including relieving obligations, ordering money to be returned, or requiring compensation to be
paid.
, arm's-length transaction - ANS-transaction where the parties are
acting independently of each other
and have no relationship with each
other that would affect each party's
ability to act in their own interest
designated individual (DI) - ANS-the registered submortgage
broker who is responsible for
ensuring proper supervision,
registration, and recordkeeping
of all employees and transactions
of the mortgage broker, as well
as managing the mortgage
broker's year-end financial filings,
registration application, and
relevant information
trust account - ANS-an account where money is
deposited by one for the benefit
of another. These funds are
devoted to a particular purpose
and cannot or should not be
diverted for other purposes
fiduciary - ANS-A person who holds a position of
trust with respect to someone else
and is obliged, by virtue of the
relationship of trust, to act solely
in the other person's benefit. Mortgage brokers owe a duty of utmost good faith to their clients.
This is called a fiduciary duty.
immobile - ANS-incapable of being moved
externalities - ANS-costs or benefits that are
enjoyed or suffered by
people other than those
who have provided them
estate - ANS-a right to possess and use land
for a period of time. The period
of time could be indefinite
(e.g., a fee simple estate) or
predetermined (e.g., a life
estate or a leasehold estate)
