The Competition Bureau has reached a consent agreement with the Yukon Real Estate Association (YREA) to address concerns over its membership practices, specifically its residency requirement for prospective members.
The Bureau's investigation found that the YREA enforced a policy requiring certain prospective members to live in the Yukon for a year before they could join the association. The Competition Bureau concluded that this requirement violated the abuse of dominance provisions outlined in the Competition Act.
According to the Bureau, the residency rule created barriers to market entry, particularly for real estate services offering alternative consumer choices and non-traditional fee structures. This practice limited competition and hindered new business models from gaining a foothold.
Under the agreement, the YREA has committed to discontinuing the residency requirement and ensuring non-discriminatory access to the real estate market for future competitors. The association has also pledged not to implement similar policies in the future. The Bureau recognized the YREA’s cooperation during the investigation.
Matthew Boswell, commissioner of competition, emphasized the importance of a competitive real estate market in his statement, "Competition in the real estate sector is of critical importance to Canadians. It stimulates innovation, lowers prices, and improves the consumer experience. Protecting competition in the real estate sector remains a top priority for the Competition Bureau."
The YREA represents real estate agents and salespeople across the Yukon, providing them with access to the Multiple Listing Service (MLS), a resource critical to brokers' services that remains inaccessible to the general public.
This consent agreement is part of the Bureau's continued efforts to uphold competition in the real estate sector. The Northwest Territories Association of Realtors recently reached a similar agreement over related conduct.
The Bureau invites individuals who suspect businesses of anti-competitive activity to report their concerns. Consent agreements typically include remedial measures deemed necessary to address the impact of conduct that violates the Competition Act, ensure fair market practices, and prevent further anti-competitive behaviour.