Humber Real Estate - Course 2, Module
1, Explaining Services Available to a
Seller or Buyer Exam 2026 Questions and
Answers
The relationship between two parties in which one party (the agent) accepts
responsibility for representing the other party (the principal) in dealing with a third
party. - Correct answer-Under Ontario law, how is an 'agency relationship' defined?
Client & Customer - Correct answer-While common law uses the terms 'Principal'
and 'Third Party', what terms does REBBA use instead?
The Common Law of Agency - Correct answer-The underlying relationship of the
brokerage, salesperson, seller and buyer is based on what?
Someone who is not directly connected with a legal transaction but may be
affected by it, OR supporting one of the people involved, i.e. lawyer, home
inspector, etc. - Correct answer-In relation to a contract, how is a third party
defined?
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,Representation - Correct answer-Under REBBA, what is the equivalent for the
legislative term for "agency"?
The brokerage - Correct answer-In a real estate transaction, who is the 'Agent'?
A seller or buyer - Correct answer-In a real estate transaction, who is usually the
'Principal'?
Representation - Correct answer-Agency is also known as ...
Representation Agreement - Correct answer-A Listing (Seller Agency) Agreement /
Buyer Agency Agreement is also known as ...
Agreement (Conveyance of Interest in Real Estate) - Correct answer-Agreement of
Purchase and Sale is also know as ...
Multiple Representation - Correct answer-Dual Agency is also known as ...
Convey Offer - Correct answer-Present Offer is also known as ...
Acquisition / Divestiture by Registrant - Correct answer-Purchase / Sale by
Registrant
The seller and buyer - Correct answer-Who are the 'Parties' to a real estate
transaction?
©COPYRIGHT 2025, ALL RIGHTS RESERVED 2
, Employee / Employer relationship with authorization to trade on behalf of their
respective brokerages. - Correct answer-What type of relationship does a
salesperson have with their brokerage from a legal perspective?
Yes. Everyone must protect the client's best interests. - Correct answer-Once an
agency relationship is established between a brokerage and a client, does the
agreement apply to all brokers & salespersons employed by the brokerage?
The agent who is authorized to trade in real estate on behalf of others. - Correct
answer-Define 'Brokerage' according to REBBA
Client - Correct answer-Principal is also known as ...
Someone who authorizes an agent to act on their behalf in an agency relationship,
and provides information and lawful instructions to the agent regarding the
transaction. - Correct answer-What is a 'Principal'?
The seller - Correct answer-When a brokerage represents a seller when listing a
property, who is the 'Principal'?
The buyer - Correct answer-When a brokerage represents a buyer when showing
properties for sale, who is the 'Principal'?
Customer - Correct answer-What is the comparable term to 'Third Party' under
REBBA?
©COPYRIGHT 2025, ALL RIGHTS RESERVED 3
1, Explaining Services Available to a
Seller or Buyer Exam 2026 Questions and
Answers
The relationship between two parties in which one party (the agent) accepts
responsibility for representing the other party (the principal) in dealing with a third
party. - Correct answer-Under Ontario law, how is an 'agency relationship' defined?
Client & Customer - Correct answer-While common law uses the terms 'Principal'
and 'Third Party', what terms does REBBA use instead?
The Common Law of Agency - Correct answer-The underlying relationship of the
brokerage, salesperson, seller and buyer is based on what?
Someone who is not directly connected with a legal transaction but may be
affected by it, OR supporting one of the people involved, i.e. lawyer, home
inspector, etc. - Correct answer-In relation to a contract, how is a third party
defined?
©COPYRIGHT 2025, ALL RIGHTS RESERVED 1
,Representation - Correct answer-Under REBBA, what is the equivalent for the
legislative term for "agency"?
The brokerage - Correct answer-In a real estate transaction, who is the 'Agent'?
A seller or buyer - Correct answer-In a real estate transaction, who is usually the
'Principal'?
Representation - Correct answer-Agency is also known as ...
Representation Agreement - Correct answer-A Listing (Seller Agency) Agreement /
Buyer Agency Agreement is also known as ...
Agreement (Conveyance of Interest in Real Estate) - Correct answer-Agreement of
Purchase and Sale is also know as ...
Multiple Representation - Correct answer-Dual Agency is also known as ...
Convey Offer - Correct answer-Present Offer is also known as ...
Acquisition / Divestiture by Registrant - Correct answer-Purchase / Sale by
Registrant
The seller and buyer - Correct answer-Who are the 'Parties' to a real estate
transaction?
©COPYRIGHT 2025, ALL RIGHTS RESERVED 2
, Employee / Employer relationship with authorization to trade on behalf of their
respective brokerages. - Correct answer-What type of relationship does a
salesperson have with their brokerage from a legal perspective?
Yes. Everyone must protect the client's best interests. - Correct answer-Once an
agency relationship is established between a brokerage and a client, does the
agreement apply to all brokers & salespersons employed by the brokerage?
The agent who is authorized to trade in real estate on behalf of others. - Correct
answer-Define 'Brokerage' according to REBBA
Client - Correct answer-Principal is also known as ...
Someone who authorizes an agent to act on their behalf in an agency relationship,
and provides information and lawful instructions to the agent regarding the
transaction. - Correct answer-What is a 'Principal'?
The seller - Correct answer-When a brokerage represents a seller when listing a
property, who is the 'Principal'?
The buyer - Correct answer-When a brokerage represents a buyer when showing
properties for sale, who is the 'Principal'?
Customer - Correct answer-What is the comparable term to 'Third Party' under
REBBA?
©COPYRIGHT 2025, ALL RIGHTS RESERVED 3
