Real Estate Council of Alberta Fundamentals Practice Exam

What is the primary purpose of tort law in real estate?

1. To provide a framework for property acquisition

2. To offer compensation for civil wrongs that result in harm

3. To regulate zoning laws and land use

4. To facilitate property sales and transfers

The correct answer is: To offer compensation for civil wrongs that result in harm

The primary purpose of tort law in real estate focuses on offering compensation for civil wrongs that result in harm. Tort law addresses instances where one party's actions (or inactions) cause injury or damage to another party. In the context of real estate, this can involve various issues such as negligence related to property conditions, trespass, nuisance, or liability involving rental properties. For example, if a landlord neglects to maintain safe conditions in a rental unit, and a tenant is injured as a result, tort law allows the injured party to seek compensation for medical expenses, lost wages, and other damages. This legal framework is essential for protecting individuals' rights and ensuring that property owners and operators adhere to a standard of care that prevents harm to others. The other options pertain to different aspects of real estate law. While property acquisition, zoning laws, and property sales are significant components of the real estate framework, they are governed primarily by different legal principles, regulations, and contractual obligations, not tort law. Tort law specifically targets the accountability of individuals whose actions have caused harm, making it distinct in its function and application within the realm of real estate.