Humber/Ontario Real Estate Course 3 Exam Practice

Salesperson Alvarez is preparing an agreement of purchase and sale for electronic signatures. Which of the following must Alvarez ensure?

1. The use of electronic signatures is required if either party requests it.

2. He must utilize technology that is tamper-proof and verifiable.

3. Inform both parties that electronic signatures aren't valid for agreements of purchase and sale.

4. Both parties must provide implied consent to avoid future disputes.

5. The buyer and seller should affix handwritten signatures additionally for legal protection.

6. Only brokerage's approved vendors' e-signature tools can be used.

The correct answer is: He must utilize technology that is tamper-proof and verifiable.

The correct choice emphasizes the necessity for Salesperson Alvarez to ensure that the technology used for electronic signatures is tamper-proof and verifiable. This requirement is critical because electronic signatures must maintain the integrity of the document and ensure that the signatures affixed cannot be altered without detection. Utilizing reliable and secure technology protects both parties' interests by preventing fraud or unauthorized alterations to the agreement. The correctness of this choice is rooted in the principle that electronic signatures, like traditional ones, must be reliable and trustworthy. Ensuring that the technology used meets these criteria allows for the legal enforceability of the agreement, which is essential in real estate transactions. Considering the other options, while implied consent and the involvement of specific vendors are relevant in certain contexts, the core focus for Alvarez should be the security and verifiability of the electronic signatures, which fundamentally uphold the legitimacy of the agreement. It’s also important to note that the law generally recognizes electronic signatures, provided the required security measures are in place.