By: Jude Chow, Staff Lawyer
September 2025

Should you enter into a client’s contract in your brokerage’s name?

On the surface, it might seem easier to enter into tenancy agreements, service contracts, or tenant notices in the name of your property or strata management brokerage. But doing so can come with serious legal and financial consequences.

The risks

When you enter into an agreement in your own name, you become a party to that agreement and take on the associated risks, baggage, and headaches, even if you only intend to act on a client’s behalf.

Enter into a tenancy agreement or notice to end tenancy with your brokerage listed as the landlord? The brokerage becomes a party to the lease and could be held responsible as the landlord should a dispute arise.

Sign a snow removal contract in your brokerage’s name? If the strata corporation/owner defaults on payment, the contractor may come knocking on your door demanding payment.

Often times, your only fallback may be a strongly worded indemnity agreement with your client, but relying on that after the fact is a risky move at best. This is not the kind of liability that you want to take on.

Your actions may jeopardize your E&O coverage

Putting your name on tenancy agreements or tenant notices can:

• Increase your chances of being named in a Residential Tenancy Branch (“RTB”) proceeding – should a landlord-tenant dispute arise, and RTB disputes aren’t covered by E&O (Part III: Exclusions, s 14 of the Indemnity Plan).
• Cause you to assume liability you would otherwise not assume – liability assumed under a contract is excluded from coverage by operation of Exclusion 8 of the Indemnity Plan if you otherwise would not have had such liability. If you’ve made yourself a party to a contract, whether it be a service contract or a tenancy agreement, you’ve assumed liability for it and may not have insurance coverage should a claim for a breach of that contract arise.

There is a better way…

Ensure that all documents are in your client’s name – protect yourself and your brokerage by not naming your brokerage as a party in your clients’ contracts, agreements, and tenant notices.

Always have your clients sign on their own behalf where possible – if your client is unable to sign documents themselves (whether in-person or electronically), you can sign on their behalf only if you have their authority in writing to do so pursuant to Rule 45 of the Real Estate Services Rules. However, make sure that you clearly indicate beside or under your own signature that you are signing as agent for your client.