Negligence leads the list of causes for the top five most expensive claims of 2023
March 2024
Each year since we began operations, we’ve done our best to help protect licensees avoid claims, offering our best loss prevention recommendations along the way.
The top five most expensive claims of 2023 is our anticipated annual wrap-up of the year’s activities and offers related tips on how to avoid being one of the claims featured in our 2024 wrap-up article.
| Cost + claim type (inc. legal fees) | Details | Suggested reading material |
| $450,000 Negligence |
A buyer’s agent was alleged to have been negligent in failing to protect the buyer from the risks of paying the deposit directly to the seller and failing to recommend legal advice. | Don’t roll the dice on recommending legal advice BCFSA Deposit Guidelines |
| $385,000 Negligence |
A buyer’s agent was alleged to have been negligent in failing to ensure the contract included certain subject clauses. | Seriously, what’s your deal? No seal, no deal: poorly worded subject clauses may void a contract Deal or no deal: The cold hard truth about subject conditions |
| $365,000 Negligence |
A seller’s agent was alleged to have been negligent in failing to ensure the identity of the seller. | Pitfalls in transactions involving corporate parties Knowing your client |
| $273,000 Negligence |
A seller’s agent was alleged to have been negligent in failing to advise the seller that the deposit had not been paid on time. | BCFSA Deposit Guidelines |
| $237,000 Breach of fiduciary duty |
A seller’s agent was alleged to have breached their duties by failing to make full disclosure and act in their client’s best interests. | The perils of implied agency Keep it secret, keep it safe – a fiduciary duty refresher |
