Real Estate Council of Alberta Fundamentals Practice Exam

What is the consequence of failing to notify the Executive Director of changes in information regarding a license?

1. Increased licensing fees

2. Immediate termination of services

3. Referral for a professional conduct review

4. Mandatory re-education on regulations

The correct answer is: Referral for a professional conduct review

Failing to notify the Executive Director of changes in information regarding a license can lead to a referral for a professional conduct review. This is because the Real Estate Council of Alberta places significant importance on the accuracy and timeliness of information related to license holders. A licensee is responsible for keeping their information current and accurate to maintain public trust and uphold the integrity of the profession. When a licensee does not fulfill this duty, it may be viewed as a breach of the regulations governing real estate practices, prompting an investigation into their conduct. Other options, while they suggest potential consequences, do not specifically address the importance of communication regarding changes to licensing information. For example, increased licensing fees or mandatory re-education might not directly stem from failing to notify the Executive Director, and immediate termination of services is an extreme measure that is generally not employed in such situations. The referral for a professional conduct review accurately reflects the regulatory approach to ensuring compliance and accountability in the real estate industry.