Law & Policy

OCTOBER 10, 2007


Registration Exemption for Salespersons’ Corporation

The Manitoba Securities Commission has issued an order under The Real Estate Brokers Act to provide a registration exemption to permit a closely held corporation established and controlled by a registered salesperson to receive payments of commissions or remuneration made by the salesperson’s registered broker.

The Commission has determined, subject to the terms and conditions set out in the order, that it would not be prejudicial to the public interest to permit the payment of commission or remuneration to a corporation that is not registered.

The issuing of this order should not be viewed as a recommendation or requirement by the Commission that a salesperson must use a corporation to receive commissions or remuneration.

A salesperson and his or her broker that intends to rely on the order must comply with the terms and conditions set out in the order. These terms and conditions include:

  • restrictions on the structure of the corporation, and
  • a requirement for a written contract between the corporation and the broker setting out the broker’s responsibility for any registerable activities conducted by the corporation.

The Commission is not prescribing the form of contract between the broker and the corporation. The purpose of the contract is to prevent a registrant from using the corporation to shield itself from responsibility for matters arising from a real estate transaction.

A copy of the order may be obtained from the MSC web site,

MCE 7 Reminder

A reminder for anyone that has not yet completed the MCE 7 “Agency Fundamentals” course that they should do so ASAP since there is limited space available. If you do not attend a classroom session you will be required to complete a two-part, six hour closed book exam at a cost of $400.00. Failing to attend a session or complete the exam by your next renewal date will result in the suspension of your registration.  

W.D. Baluk
The Real Estate Brokers Act