Assessment: Work in the Real Estate Industry (CPPDSM4080A) - WA

This assessment, designed for the CPPDSM4080A Work in the Real Estate Industry course, delves into various facets of the real estate sector. It begins by differentiating between sole trader, company, and partnership forms of business ownership, outlining their respective liabilities and responsibilities. The assessment then explores relevant legislation, including the Real Estate and Business Agents Act 1978 in Western Australia, the regulatory authorities, and other key legislation impacting agency operations. It also covers ethical standards and codes of conduct specific to real estate agents, providing examples of potential breaches. Furthermore, the assignment examines the roles of government agencies such as the Australian Competition and Consumer Commission (ACCC), the Office of the Privacy Commissioner, the Australian Human Rights Commission, Safe Work Australia, and the Fair Work Commission, in relation to the property sector. Overall, the assessment aims to provide a comprehensive understanding of the legal, ethical, and operational aspects of working within the real estate industry.

ASSESSMENT
Work in the Real Estate Industry (CPPDSM4080A)
Student identification(student to complete)
Please complete the fields shaded grey.
Student number 10535326
State or Territory Western Australia
Course
Number of pages
including this one [number]
Assessment result(assessor to complete)
Result — first submission (Details for each activity are shown in the table below)
Competent / Not yet competent
Result — resubmission (if applicable)
Competent / Not yet competent
CPPDSM4080A_AS_v1.3 © April 2016 Kaplan Education Pty Limited

Feedback (assessor to complete)
[insert assessor feedback]
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Before you begin
Read everything in this document before you start your assessment for this subject.
Instructions for completing and submitting this
assessment
The information and resources that can assist you in answering the questions in this assessment can be
primarily sourced from the learner guide and supporting resources for ‘Work in the Real Estate Industry
(CPPDSM4080A)‘, located on your eLearning platform. You may also be required to conduct some
independent research.
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The assessment marking process
Once you have submitted your work:
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• your assessment will be returned to you on the eLearning platform for this subject.
‘Not yet competent’ and resubmissions
Should your assessment be marked as ‘not yet competent’ you will be given an additional opportunity
to amend your responses so that you can demonstrate your competency to the required level.
Further resubmissions to this can be requested at a fee.
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• you must address the assessor’s feedback in your amended responses
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Units of competency
This assessment is your opportunity to demonstrate your competency in the following unit:
CPPDSM4080A Work in the Real Estate Industry
Assessment activities
The activities contained in this document are outlined below.
Part 1: Short answer questions
• This section consists of 5 short-answer questions.
• Question 2, 3 & 5 consist of multiple parts.
Part 2: Research project
• This section consists of 4 questions.
• You are expected to conduct your own research to answer these questions.
Part 3: Case study
• This section consists of 6 questions based on a simulated scenario.
• You will also be required to access the internet to conduct some research and undertake additional reading.
We are here to help
If you have any questions about this assessment you can email us at [e-mail]. You can
expect an answer from one of our technical advisers or student support staff.
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Part 1: Short-answer questions
Question 1
Briefly explain the difference between the following three (3) forms of business ownership for real estate
agencies, in terms of liabilities and responsibilities for the business owners:
• sole trader
• company
• partnership.
- Sole Trader
Simplest and most inexpensive form of business structure to set up. As a sole trader, you can trade under
your own name.
However, when a business operates under a name other than that of the proprietor that name must be
registered under the Business Names Registration Act 2011. Business names are administered by the
Australian Securities and Investments Commission (ASIC).
- Company (corporation)
A company is a single legal entity quite distinct from the individual members who form the company.
Because a company is a separate entity, it follows that it can do many of the things which an ordinary
individual can do at law. A company:
• can create contracts that are binding
• has the right to sue
• can be sued by a third party
• can own and dispose of property
• can enter legally binding agreements.
Shareholders of the company do not have any liability for debts of the company apart from the cost of the
shares. This is known as limited liability. This can be contrasted with partnerships or sole traders which
have unlimited liability, and where the partners or owners may be sued individually for the liabilities of the
business.
A company is a legal entity separate from its shareholders. It can enter contracts, own property and
undertake business dealings quite separately from its shareholders. The act of becoming a company is
called incorporation.
There are several different types of company but the one most commonly used as a business vehicle is a
proprietary company, limited by shares. Proprietary companies must have at least one director and at least
one director must ordinarily reside in Australia. Companies are registered through the Australian Securities
and Investment Commission (ASIC).
A company needs to register for an Australian Business Number (ABN) and for a tax file number. It pays
income tax on its profits, currently at a rate of 30%. Since the introduction of dividend imputation,
companies pass on tax credits to their shareholders when paying franked dividends.
- Partnership
A partnership is defined by the Partnership Act 1892 as the relationship which exists between persons
carrying on a business in common with a view to profit. This involved an agreement between two or more
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parties to enter a legally binding relationship and contractual.
Having a formal written partnership agreement is a wise thing to have as it sets out each partner
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Question 2
(a) What is the name of the agents Act under which real estate agents operate in your state/territory?
Real Estate and Business Agents Act 1978
(b) For your state/territory,name the regulatory authority that is responsible for administering the
provisions of the Act you have listed for part (a) above.
In WA, individuals, partnerships or companies wishing to operate as real estate or business agents are
required, under the Real Estate and Business Agents Act 1978, to be licensed and hold a current triennial
certificate.
Similarly, an individual wishing to work as a real estate or business sales representatives must be registered
and work under the supervision of a licensee.
The licensing system administered by Consumer Protection ensures only suitably qualified people can
operate in the real estate industry. It requires applicants to have certain qualifications, experience, and be a
person of good character and repute.
(c) Besides the legislation you have listed in part (a), make a list of at least two (2) other key pieces of
legislation that impacts on agency operations in your state/territory and identify where/how you
might access this legislation.
- Real Estate and Business Agents Act 1978 (WA)
Accessed online in Western Australian Current Acts website at
http://www.austlii.edu.au/au/legis/wa/consol_act/reabaa1978293/
- Code of Conduct for Agents and Sales Representative 2011 (WA)
Accessed online in the government of Western Australia, Department of the Premier and Cabinet State Law
Publisher website at
https://www.slp.wa.gov.au/pco/prod/FileStore.nsf/Documents/MRDocument:22824P/$FILE/Code%20of
%20Conduct%20for%20Agents%20and%20Sales%20Representatives%202011%20-%20%5b00-a0-
03%5d.pdf?OpenElement
- Auction Sales 1973 (WA)
Accessed online in the government of Western Australia, Department of the Premier and Cabinet – State
Law Publisher website at
https://www.slp.wa.gov.au/legislation/statutes.nsf/main_mrtitle_62_homepage.html
(they have the current and update version: 1 July 2017)
- Residential Tenancies Act 1987 (WA)
Accessed online in the government of Western Australia, Department of the Premier and Cabinet – State
Law Publisher website at
https://www.slp.wa.gov.au/legislation/statutes.nsf/main_mrtitle_821_homepage.html
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(they have the current and update version: 3 July 2017)
(d) List two(2) rules of conduct/ethical standard specific to agents in your state/territory and for each
provide an example of how this rule of conduct/ethical standard could be breached by an agent.
In W.A the agent rules of conduct are referred to as a ‘Code of Conduct’ and they have their own separate
legislation, called the ‘Real Estate and Business Agents and Sales Representatives Code of Conduct 2016’ on
the following link:
https://www.slp.wa.gov.au/legislation/statutes.nsf/main_mrtitle_13816_homepage.html
-
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Question 3
Visit the web site of the following government agencies and explain their role as it relates to the property
sector.
(a) Australian Competition and Consumer Commission (ACCC)
ACCC is an independent Commonwealth statutory authority. Its role is to enforce the Competition and
Consumer Act 2010 and a range of additional legislation, promoting competition, fair trading and regulating
national infrastructure for benefit of all Australians.
ACCC role is to increase the prosperity and welfare of Australian consumers. Their role is to protect,
strengthen and supplement the way competition works in Australian market and industries to improve the
productivity of the economy and to increase the welfare of Australians.
Their goals:
- maintain and promote competition and remedy market failure
- protect the interests and safety of consumers and support fair trading in markets
- promote the economically efficient operation of, use of and investment in monopoly infrastructure
- increase the engagement with the broad range of groups affected by what we do.
(b) Office of Privacy Commissioner (Australian Information Commissioner Act)
Responsible for the information policy function. This requires the information commissioner to report to
the Attorney-General on how public sector information is collected, used, disclosed, administered, stored
and accessed.
The FOI and the Privacy Commissioners can both exercise the FOI and privacy functions, and in practice are
chiefly responsible for those areas. They cannot exercise the Information Commissioner function. The
Information Commissioner can also delegate many of the FOI and privacy functions to other OAIC staff
under s 25 of the AIC Act.
The Information Commissioner, as agency head, is responsible for reporting to government on the OAIC’s
work. This can include reports on how the Government can, as part of its information management
responsibilities:
- Be more open, accountable and transparent
- Make the information it holds accessible, discoverable and useable to the public
- Securely manage personal information
- Better manage the information it holds.
(c) Australian Human Rights Commission
Role is to established the Human Rights and Equal Opportunity Commission and gives it functions in
relation to the following international instruments:
- International Covenant on Civil and Political Rights (ICCPR)
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- Convention Concerning Discrimination in Respect of Employment and Occupation (ILO 111)
- Convention on the Rights of Persons with Disabilities
- Convention on the Rights of the Child
- Declaration of the Rights of the Child
- Declaration on the Rights of Disabled Persons
- Declaration on the Rights of Mentally Retarded Persons, and
- Declaration on the Elimination of All Forms of Intolerance and of Discrimination Based on Religion
or Belief.
(d) Safe Work Australia
WorkSafe is the WA Government agency responsible for the administration of the Occupational Safety and
Health Act 1984. It is division of the Department of Commerce. Their aim is to reduce workplace fatalities
and injury and disease rates in accordance with national target by:
- reducing high incidence/severity risks
- improving the capacity of business operators and workers to manage occupational safety and
health effectively
- preventing occupational disease more effectively
- eliminating hazard at the design stage
- strengthening the capacity of government to influence occupational safety and health outcomes
(e) Fair Work Commission.
The Fair Work Commission has many roles, with its responsibilities spanning a variety of spectrums in
Australian workplace relations. Some of its key roles include:
- setting the national minimum wage
- creating and changing Modern Awards
- approving enterprise agreements
- acting as the independent moderator in disputes including unfair dismissal and adverse action
- resolving disputes under awards, agreements, or the National Employment Standards (NES)
On top of these, the Fair Work Commission also has the power to award determination for employees. For
instance, if a dismissal is deemed to be unfair, they can determine a reinstatement of the job, or even
financial compensation depending on the circumstance. However, for a determination of this nature to
take place, an employee must lodge an application form, as well as stipulate their reasoning. They may
believe they have been:
- unfairly dismissed
- discriminated against, victimised or unfairly treated under the provisions of the Fair Work Act
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- bullied at work and want an order to prevent that from occurring
After the application, has been completed and submitted by the employee. The Fair Work Commission will
then assess the application, and send documents to the employer with the request for a response to the
claims. This is the beginning of the mediation process with the next steps being dependent on the
employer’s response and the severity of the claim.
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Question 4
Explain the relationship between the role of the licensed estate agent and the agent representative
employed by them.
The principal agent or officer in ef
Question 5
(a) Describe three (3) different situations where you may be required to seek specialist advice when
working in the real estate sector.
<type your answer here>
(b) For the three (3) above circumstances you have identified, what particular expert advice would you
need to source for each,and the reasoning behind your answer.
<type your answer here>
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