If you look back to the previous version of the OREA standard form Agreement of Purchase and Sale, you will find a Confirmation of Execution. It followed the signature line for the parties and looked like this:
Confirmation of Execution: Notwithstanding anything contained herein to the contrary, I confirm this Agreement with all changes both typed and written was finally executed by all parties at _____am/pm this _____ day of _____20xx.
(Signature of Seller or Buyer)
Well, that document is gone. It’s been replaced by the Confirmation of Acceptance.
But, what was wrong with the old Form?
The standard procedure was to have the last person to handle the document, sign this statement. So, with offers and counter offers going back and forth, and with initials for all the changes, this statement was to confirm that we had a “done deal”.
Without that statement, often the paperwork would be difficult to follow. Did both parties agree to all the changes in the price, deposit, closing date and so on?
This statement was intended to provide some guidance. It was intended to ensure that even if the document was “messy”, if you followed it through the various steps carefully, there was a “final deal”.
It was, of course, reasonable for the ultimate “offeree” to sign the Confirmation of Execution, by stating that the Agreement “was finally executed by all parties….” The reason is that no more signatures were required!
Well, that was a good statement. It made sense. It was accurate and it could in all fairness be signed by the ultimate offeree.
So, what’s the problem?
It’s gone, it’s been replaced by another document and it’s that new statement which causes problems. And, there really was no explanation that came with the new document.
Brian Madigan LL.B., Broker