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Question
John is a licensed Real Estate Salesperson. He is approached by Colin, a friend who works at a bank. Colin offers him a commission if he convinces any of his clients to apply for a mortgage with his bank and their applications are successful. John is concerned about his legal obligations regarding this situation, specifically with regards to the Secret Commissions Act 1910.
1. In your own words, explain what John's legal obligations are around accepting commissions from friends who work at the bank.
2. What are the possible consequences under the Secret Commissions Act 1910 if he accepted a commission or gift from a third party?
3. Explain in your own words the purpose of the Secret Commissions Act 1910.
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