Humber/Ontario Real Estate Course 3 Exam Practice

Which individual is not authorized to sign an agreement of purchase and sale on behalf of a current or future owner?

1. An estate trustee.

2. A person holding a power of attorney.

3. A spouse.

4. A person signing in trust.

5. A co-owner of the property.

6. A legal guardian.

The correct answer is: A spouse.

The correct response identifies a spouse as the individual who may not automatically possess the authority to sign an agreement of purchase and sale on behalf of a current or future owner without explicit legal authorization. While spouses typically have rights and responsibilities regarding shared property, the authority to bind the other spouse in a real estate transaction generally requires either mutual consent or legal documentation such as a power of attorney. In contrast, other listed options involve individuals or roles that are recognized under law or specific legal circumstances to act on behalf of an owner. An estate trustee, for example, has the authority to manage and transfer property as designated in a will. A person holding a power of attorney is legally empowered to act on behalf of another individual in financial or legal matters. A co-owner of the property can make decisions about the property they share, and a legal guardian is granted authority to make decisions for someone who is unable to do so, which can include entering into agreements. This distinction underscores the importance of explicit authority in property transactions, particularly in a legal context where ownership and rights can be nuanced.