Consent Order

Published on
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Licensee
Chrystale Ashworth, Chrystale Ashworth
Brokerage at Time of Sanctioned Activity
Master Key Realty Ltd.
Current Brokerage
Master Key Realty, Chilliwack
Consent Order Date
5 August 2005

Summary

REAL ESTATE COUNCIL OF BRITISH COLUMBIA

In the matter of the Real Estate Act

R.S.B.C. 1996, c. 397 As Amended

AND in the matter of a Disciplinary Hearing held pursuant to Section 31 of the Real Estate Act

Financial Services Tribunal Decision: February 1, 2007

Complaint:

Contravention of section 31(1)(a) and 37(1) of the Real Estate Act, sections 9.12 and 9.16 of Regulation 75/61 under the Real Estate Act/Negligence, incompetence and misappropriation.

Issue:

Master Key Realty Ltd., brokerage, Chilliwack, breached section 9.16 of Regulation 75/61 under the Real Estate Act in that it failed to have a managing broker in regular attendance at the brokerage 's office and in active charge of the business of the brokerage being conducted in such office both in regard to the transactions which resulted in the complaints and in the general course of business of the brokerage.

Issue:

Chrystale Ashworth, managing broker, Master Key Realty Ltd., Chilliwack, was:

  1. negligent within the meaning of section 9.12 of Regulation 75/61 under the Real Estate Act in that she failed to provide the landlords with a copy of the lease agreements in respect of the three properties in accordance with section 37(1) of the Real Estate Act;
  2. was incompetent within the meaning of section 9.12 of Regulation 75/61 under the Real Estate Act in that she:
    1. failed to promote and protect the interests of her client, the landlords by failing to offer competent property management services in that she failed to provide proper notice to the tenants at the end of their tenancies that it was the landlord 's intention to retain the security deposits;
    2. disregarded awards of an arbitrator under the Residential Tenancy Act to pay the tenants their security deposits;
    3. failed to be in active charge of the property management business of the brokerage and in regular attendance at the office of the brokerage; and
  3. misappropriated funds which she had received in her capacity as a licensee on behalf of her clients contrary to section 31(1)(a) of the Real Estate Act.

Penalty:

Master Key Realty Ltd. was reprimanded and Chrystale Ashworth and Master Key Realty Ltd. were jointly and severally liable for costs in the amount of $13,728.90 plus the service costs incurred by the Council as a condition of Ms. Ashworth 's re-licensing as a managing broker.

Penalty:

Chrystale Ashworth 's licence as a managing broker was suspended for a period of one year from December 21, 2005 to December 20, 2006 (inclusive) for negligence, incompetence and misappropriation. In addition, as a condition of re-licensing as a managing broker, Chrystale Ashworth was required to successfully complete Chapter 2 (Mandatory Requirements Under the Real Estate Services Act) of the Broker 's Licensing Course, Ms. Ashworth was prohibited from any property management activities until she completed the Property Management Supplemental course and passed the examination. Further Master Key Realty Ltd. and Chrystale Ashworth were jointly and severally liable for costs in the amount of $13,728.90 plus service costs incurred by the Council as a condition of Ms. Ashworth 's re-licensing as a managing broker. Ms. Ashworth was immediately eligible to be licensed as a representative or associate broker.

Appeal:

Chrystale Ashworth and Master Key Realty Ltd. appealed the findings of wrongdoing and the penalty aspect of the decision of Council to the Financial Services Tribunal. The Superintendent of Real Estate appealed the penalty aspect of the decision of the Council to the Financial Services Tribunal.

Appeal Decision:

The Financial Services Tribunal dismissed the appeals of Ms Ashworth and Master Key Realty Ltd., it upheld the findings of wrongdoing by the Council and it allowed the appeal of the Superintendent of Real Estate.

The Financial Services Tribunal suspended the managing broker 's licence of Ms Ashworth and the brokerage licence of Master Key Realty Ltd. for a period of three years from January 19, 2006 to January 18, 2009. Ms. Ashworth 's licence as an associate broker or as a representative was suspended for a period of sixteen months from January 19, 2006 to May 18, 2007. Council costs were levied at a total of $13,728.90 and are jointly and severally payable by Chrystale Ashworth and Master Key Realty Ltd. by February 1, 2008 and, in any event, as a condition of Ms. Ashworth 's re-licensing. The Council 's orders concerning the education requirements noted above were also confirmed. Costs arising from the Financial Services Tribunal appeals in the sum of $2,000 were assessed and ordered payable by Ms. Ashworth to the Council. This amount is owing immediately.