Humber/Ontario Real Estate Course 4 Exam 2025 – 400 Free Practice Questions to Pass the Exam

In this scenario, the focus is on the listing agreements and the protection periods associated with them. The situation involves a property listed by Brokerage M with a 90-day protection period, which means that if the property sells to a buyer introduced by Brokerage M within 90 days of the expiration of its listing agreement, Brokerage M is entitled to a commission.

Since the property was sold by Brokerage T 35 days after the listing with Brokerage M expired, the critical factor is that the sale occurred after the protection period. Brokerage T, having the new listing agreement in place at the time of the sale, is considered to be the brokerage completing the transaction, therefore entitled to their commission as established in their agreement.

Even though the buyer was initially introduced by Brokerage M, once the protection period has lapsed, the buyer is no longer under the influence of the original agreement. Options relating to commissions being split or referral fees become irrelevant because they depend on the context of the protection period and whether it was still active when the sale occurred. Since the transaction happened outside the holdover period, the commission is rightfully awarded to Brokerage T as they facilitated the sale under a valid listing agreement.