Another Misguided Schedule “B”

Outrageously Unnecessary – Podcast – Podtail

Question:

Here’s a Schedule “B”, any comments:

THE PARTIES TO THIS AGREEMENT ACKNOWLEDGE THAT, prior to signing any Real Estate Document (i.e. -Offer, Waiver, Amendment, Notice of Fulfillment – (N.O.F.) etc), they take full responsibility for making the decision to proceed and understand you are committed to take whatever steps necessary to complete the transaction and further, may be liable if the Agreement of Purchase and Sale is not completed. The Buyer and Seller further acknowledge, understand and agree that upon acceptance of the offer, or delivery of the notice of fulfillment(s) or waiver of condition(s), they have entered into a binding Agreement of Purchase and Sale.

Answer:

Have they never, ever heard of the Supreme Court of Canada case in Bhasin v. Hrynew (13 November 2014)?

Good faith contractual performance is expected in all contracts. That includes real estate contracts, whether or not such a provision were included. The addition of the completely unnecessary demonstrates simply an ignorance of the law.

The last sentence is a little crazy! It’s simply wrong! Once the Offeree has accepted the contract, it is now binding upon both parties.

Brian Madigan LL.B., Broker

www.OntarioRealEstateSource.com

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