Real Estate Council of Alberta Fundamentals Practice Exam

What is an example of an intentional tort in the context of real estate practices?

1. Defamation

2. Carelessness

3. Failure to act

4. Product defects

The correct answer is: Defamation

An example of an intentional tort in the context of real estate practices is defamation. Intentional torts involve actions taken knowingly and purposefully to cause harm to another individual or entity. In the realm of real estate, defamation can occur when false statements are made about someone, such as a competitor or a property owner, that harm their reputation or business interests. For example, if a real estate agent spreads false information about another agent's business practices, that can lead to significant damage to the other agent's credibility and lead to a loss of business opportunities. This act is intentional, as it involves a conscious decision to communicate a falsehood with the aim of damaging someone else's reputation. In contrast, the other options present actions that do not constitute intentional torts. Carelessness refers to negligence rather than intentional behavior, failure to act does not involve a deliberate action to cause harm, and product defects pertain more to liability issues in product safety rather than intentional wrongdoing against a person or their reputation.