
Industry Sectors Under the Jurisdiction of the REA
The Real Estate Act (REA) governs several sectors within Alberta’s real estate industry, including condominium management.
WHAT YOU'LL LEARN
Industry Sectors Under the Jurisdiction of the REA
REA Agency Requirements for Condominium Management Service Agreements
Evaluating Compliance of a Condominium Management Service Agreement with REA Rules
Industry Sectors Under the Jurisdiction of the REA
Key Concepts
The Real Estate Act (REA) governs several sectors within Alberta’s real estate industry, including condominium management.
The specific sectors under the jurisdiction of the REA are:
Residential Real Estate
Commercial Real Estate & Commercial Property Managers
Mortgage Brokers
Property Managers including Condominium Managers
REA Agency Requirements for Condominium Management Service Agreements
Agency requirements refer to the responsibilities and duties condominium managers owe to the condominium corporations they represent. These requirements ensure clarity, accountability, and legal compliance in condominium management service agreements
Scope of Services:A condominium management service agreement must clearly set out the services to be provided by the condominium manager and the obligations of the condominium corporation.
Written Agreements:
The agreement must be in writing and include all the terms that are essential to the relationship.
Disclosure Requirements:Condominium managers are required to disclose conflicts of interest and ensure transparency.
Amendments to Agreements:Any changes to a service agreement must be agreed to in writing by both parties.
Scenario-Based Question:
Scenario: A condominium manager enters into a verbal agreement with a condominium corporation to provide additional services not included in the original written agreement.
Question: Does this comply with the agency requirements outlined in the REA Rules?
Answer: No. the REA Rules requires that any material amendments to a service agreement be agreed to in writing by both parties.

Evaluating Compliance of a Condominium Management Service Agreement with REA Rules
To evaluate compliance with the REA Rules, review the following elements of the service agreement:
Clarity of Terms:
Does the agreement clearly outline the scope of services, fees, and reporting requirements?
A condominium management service agreement must clearly set out the services to be provided by the condominium manager and the obligations of the condominium corporation.
Written Format:
Is the agreement in writing?
The agreement must be in writing and include all the terms that are essential to the relationship.
Amendments:
Have all amendments been documented and signed by both parties?
Material amendments to a condominium management service agreement must be agreed to in writing by both parties.
Disclosure of Conflicts:
Has the manager disclosed any potential conflicts of interest?

