FSRA is reviewing the Mortgage Brokerages, Lenders and Administrators Act, 2006 (MBLAA) requirements to determine whether they can be interpreted to allow mortgage brokerages, brokers and agents to use more than one trade / team name as the authorized name to conduct business. If the use of multiple trade / team names is allowed, FSRA will consider the conditions for use of multiple trade / team names by licensees.
Currently, some licensees (agents, brokers and/or brokerages) are using names other than their licensed name in their public materials or advertisements.
This practice may lead to a lack of clarity for consumers, licensees and FSRA as well as a lack of accountability by the licensed brokerage. For example:
- the identity of the mortgage brokerage responsible for their mortgage transaction may not be clear
- licensees may dispute with each other over the use of the same team name
- a team name may infringe on other requirements of other statutes such as: Business Corporations Act, Patent Act, Trademarks Act, Copyright Act, etc. For reference, a “licensed name” is the name under which a FSRA license is issued.
FSRA will provide further clarification once the review is complete. Check our website for the current requirements regarding use of names.