Question: I am acting for the Seller in a conditional deal with two Buyers: (1) Is it ok remove one Buyer via amendment while the offer is still conditional and …
Supreme Court of Canada endorses Good Faith and Honesty
The Supreme Court of Canada changed every contract in Canada. Now, all contracts include: 1) an obligation of good faith contractual performance, and2) a duty to act honestly in the …
Commencement of Good Faith and Honesty Doctrines
When does good faith and honesty start when it comes to contracts? Well, the first thing that you have to have is a contract. So, that means that the two …
Irrevocability Clause –Ambiguity Resolution
One of the very basic steps in the Offer/Acceptance interplay is the irrevocability provision. One would expect absolute certainty here, but do we actually have it? Irrevocability Provision This is …
Initialling Changes on an Agreement of Purchase and Sale
As simple as it may seem, in practice, there is something of a difficulty when it comes to initialling changes to an Agreement of Purchase and Sale. Reasons There are …
Interpretation of Initials on Contracts and the Potential for Confusion
The standard form OREA Agreement of Purchase and Sale requires initials to be placed on every page for the purposes of acknowledgment except the actual signing page. The difficulty is …
Seller’s Remedies Having Signed a Mutual Release
You can probably imagine that a Seller may be upset, sign a Mutual Release and then regret it afterwards. This would particularly be the case if the Seller felt that …
Seller’s Options with a Failed Deposit Cheque in a Conditional Deal
On occasion, Buyers’ agents are rushed and they just don’t get around to things. Fred was acting for Barney who wanted a house to renovate in the west end. He …
Does the Seller Need a Mutual Release if the Deal Does not “Firm Up”?
Bob submits an Offer on Bill’s property for $920,000.00 with a $50,000.00 deposit, subject to two conditions, financing and inspection, both running 5 days. At the end of the 5 …
30 Rules Relating to Deposits
Deposit Issues A deposit is not required to make a contract enforceable A deposit is a sign of good faith All deposits are non-refundable A refundable deposit must be specified …