Disclosure of Material Facts (Standards for Clients and Customers)

Disclosure of Material Facts

Material facts section 21 Code of Ethics

Client Standard

21. (1) A broker or salesperson who has a client in respect of the acquisition or disposition of a particular interest in real estate shall take reasonable steps to determine the material facts relating to the acquisition or disposition and, at the earliest practicable opportunity, shall disclose the material facts to the client. O. Reg. 580/05, s. 21 (1).

Customer Standard

(2) A broker or salesperson who has a customer in respect of the acquisition or disposition of a particular interest in real estate shall, at the earliest practicable opportunity, disclose to the customer the material facts relating to the acquisition or disposition that are known by or ought to be known by the broker or salesperson. O. Reg. 580/05, s. 21 (2).

Basically, although phrased somewhat differently, I think this is the “same” standard.

I can’t think of any example that would fall under #1, but not fall under #2. If that is the case, then then end up being the same.

Can you come up with an example?