Real Estate Council of Ontario DISCIPLINE DECISION

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1 Real Estate Council of Ontario DISCIPLINE DECISION IN THE MATTER OF A DISCIPLINE HEARING HELD PURSUANT TO THE REAL ESTATE AND BUSINESS BROKERS ACT, 2002, S.O. 2002, c. 30, Sch. C BETWEEN: REGISTRAR UNDER THE REAL ESTATE AND BUSINESS BROKERS ACT, AND- ROB GOLFI Subject to Rule 4.02 of the Discipline and Appeals Committee Rules of Practice (REBBA 2002), I, the Chair of the Discipline Committee (REBBA 2002) have reviewed and considered the Agreed Statement of Facts and Recommended Penalty together with the Waiver of Hearing submitted by the Parties to this proceeding and provide the following Order: DATE OF DECISION: June 7, 2013 FINDINGS: In violation of Sections 36 and 38 of the REBBA 2002 Code of Ethics. ORDER: Fine of $10, payable to RECO on or before WRITTEN REASONS: REASONS FOR DECISION INTRODUCTION This matter proceeded on the basis of an Agreed Statement of Facts and Penalty and Waiver of Hearing, pursuant to Rule 4.02 of the Rules of Practice (REBBA 2002). The Agreed Statement of Facts and Penalty read: AGREED STATEMENT OF FACTS AND PENALTY 1. Rob Golfi ( Golfi ) is a member of the Real Estate Council of Ontario ( RECO ), and at all material times was registered as a salesperson pursuant to the Act and was employed by Brokerage A. Page 1 of 5

2 2. Brokerage A is a member of RECO, and at all material times was registered as a brokerage, pursuant to the Act. 3. Registrant A is a member of RECO, and is registered as a broker pursuant to the Act. At all material times, Registrant A was the broker of record for Brokerage A. 4. On or about February 7, 2011, RECO received a written complaint expressing concerns regarding violation of the Code of Ethics within Golfi s public advertising. 5. The complainant requested that his or her identity remain confidential. 6. The complaint was assigned to a RECO Compliance Officer for review and possible further action. 7. RECO s review identified issues with the advertising that could be deemed to be violations of the Code of Ethics. 8. On or about April 8, 2011, RECO s Deputy Registrar wrote to Golfi and, by way of an Advertising Advisory notice, informed him of the complaint and RECO s concerns regarding the identified issues and the relevant sections of the Code of Ethics. 9. The Advertising Advisory notice referenced a number of concerns, including that Golfi s advertising may have failed to: a) Ensure that his name, as registered, and designation, clearly appeared together when used; b) Ensure the address indicated as the City Office was registered as a branch office with RECO, before including it in his advertising; c) Ensure that permissions were obtained before showing or identifying transaction details of properties being advertised for sale or sold; d) Ensure that statements used were not constructed as false, misleading or deceptive, and were verifiable, accurate and properly substantiated; e) Ensure the provider, date and basis of all awards was clearly displayed. 10. In addition to the above concerns, the Advertising Advisory notice also included a requirement that Golfi bring the advertising on and (collectively the Websites ) into compliance with the Act, and provide evidence of same and written response by May 9, In addition, the Advertising Advisory notice requested that Golfi sign an Acknowledge & Undertaking form, stating that he undertook to comply not only with the matters brought to his attention by the Advertising Advisory notice, but with the Act, going forward. 12. On or about April 8, 2011, a similar Advertising Advisory notice was also sent to Registrant A, as broker of record for Brokerage A. Page 2 of 5

3 13. On May 12, 2011, RECO received Golfi s signed Acknowledgment & Undertaking form. There was no indication that anything referenced by the Advertising Advisory notice had been changed, and no evidence of compliance was provided, contrary to the request. 14. After May 12, 2011, RECO conducted a review of Golfi s advertising and determined that no changes were made to the Websites, despite his being made aware of apparent violations of the Act via the Advertising Advisory notice and his signed Acknowledgment & Undertaking form. SUMMARY OF AGREEMENTS It is agreed that Golfi acted unprofessionally when he: 1. Failed to address a number of advertising violations conveyed to him in the Advertising Advisory notice, by not making changes to the Websites, and by not providing evidence of change and compliance, on or before May 9, 2011, as requested by the Deputy Registrar, and thereby contravened sections 36 and 38 of the Code of Ethics. 2. Failed to comply with the May 11, 2011, Acknowledgement & Undertaking, signed by him, whereby he undertook to comply with matters brought to his attention via the Advertising Advisory notice and thereby contravened section 38 of the Code of Ethics. It is agreed that Golfi breached the following sections of the Code of Ethics: 36. ADVERTISING (1) A registrant shall clearly and prominently disclose the name in which the registrant is registered in all the registrant s advertisements. O. Reg. 580/05, s. 36(1). (2) A brokerage that identifies a broker or salesperson by name in an advertisement shall use the name in which the broker or salesperson is registered. O. Reg. 580/05, s. 36(2). (3) A broker or salesperson shall not advertise in any manner unless the advertisement clearly and prominently identifies the brokerage that employs the broker or salesperson, using the name in which the brokerage is registered. O. Reg. 580/05, s. 36(3). (4) A registrant who advertises shall, (a) use the term brokerage, real estate brokerage, maison de courtage or maison de courtage immobilier to describe any brokerage that is referred to in the advertisement; (b) use the term broker of record, real estate broker of record, courtier responsible or courtier immobilier responsible to describe any broker of record who is referred to in the advertisement; (c) use the term broker, real estate broker, courtier or courtier immobilier to describe any broker who is referred to in the advertisement; and Page 3 of 5

4 (d) use the term salesperson, real estate salesperson, sales representative, real estate sales representative, agent immobilier, représentant commercial or représentant immobilier to describe any salesperson who is referred to in the advertisement. O. Reg. 580/05, s. 36(4). (4.1) Revoked: O. Reg. 246/06, s. 2. (5) Despite clause (4)(c), a registrant who advertises may, before April 1, 2008, use the term associate broker, associate real estate broker, courtier associé or courtier immobilier associé to describe any broker who is referred to in the advertisement. O. Reg. 580/05, s. 36(5). (6) A registrant who advertises shall not use a term to describe any registrant that is referred to in the advertisement if the term could reasonably be confused with a term that is required or authorized by subsection (4) or (5). O. Reg. 580/05, s. 36(6). (7) A registrant shall not include anything in an advertisement that could reasonably be used to identify a part to the acquisition or disposition of an interest in real estate unless the party has consented in writing. O. Reg. 580/05, s. 36(7). (8) A registrant shall not include anything in an advertisement that could reasonably be used to identify specific real estate unless the owner of the real estate has consented in writing. O. Reg. 580/05, s. 36(8). (9) A registrant shall not include anything in an advertisement that could reasonably be used to determine any of the contents of an agreement that deals with the conveyance of an interest in real estate, including any provision of the agreement relating to the price, unless the parties to the agreement have consented in writing. O. Reg. 580/05, s. 36(9). 38. ERROR, MISREPRESENTATION, FRAUD, ETC. A registrant shall not use the registrant s best efforts to prevent error, misrepresentation, fraud or any unethical practice in respect of a trade in real estate. O. Reg. 580/05, s. 38. AGREED PENALTY Rob Golfi, the Respondent, be ordered to pay a penalty of $10, on or before By initials below, I, Rob Golfi, acknowledge that I have read and understand the penalty outlined herein and agree to the said terms and/or conditions [Respondent s Initials] By initials below, I, Rob Golfi, agree, understand, acknowledge and consent to waive the requirement for a hearing and to request an Order from the Chair of the Discipline Committee that includes this Agreed Statement of Facts and Penalty as a final settlement of this matter. [Respondent s Initials] By initials below, I, Rob Golfi, acknowledge that I exercised my right to be represented by Counsel or agent in this matter. Page 4 of 5

5 [Respondent s Initials] By signature below the Parties agree, acknowledge, understand and consent to the final settlement of this matter by way of this Agreed Statement of Facts and Penalty. [The Agreed Statement was duly signed by the Parties.] DECISION OF THE CHAIR Having reviewed and considered the Agreed Statement of Facts, the Chair of the Discipline Committee (REBBA 2002) concluded that the Respondent breached Sections 36 and 38 of the REBBA 2002 Code of Ethics. The Chair of the Discipline Committee (REBBA 2002) is also in agreement with the joint submission of the Parties as to penalty and accordingly makes the following order: 1. Rob Golfi is Ordered a Fine of $10, payable to RECO on or before [Released: June 11, 2013] Page 5 of 5

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