Question:
Seller just accepted an offer on Friday night (of a long weekend). The Buyer’s agent texted me this morning saying his client hurt her leg on the stairs and won’t be able to make it to the bank for the deposit until Tuesday when it’s back open. Correct me if I’m wrong but isn’t it absolutely mandatory to have it within 24 hours?
Answer
The Agreement is valid, with or without a deposit.
You are acting for the Seller. Let the Buyer go into breach of contract. If you are happy enough with the deal, and haven’t sold it to anyone else, and they show up on Tuesday with the money, then go ahead and proceed with the transaction.
If you are the Buyer’s agent, you should have made arrangements before the Offer, not 10 minutes after the Offer was actually accepted. It is your responsibility under the Code to deliver the cheque.
So, drive over to your client’s house, pull out a napkin and get them to fill in their banking information, complete the “cheque” and sign it etc., this is assuming they don’t have a blank cheque and can’t get to the bank. Then, deliver it to the Listing agent. At that point ask: “if you can wait until Tuesday, we will replace this with a bank draft, if that’s OK?” Everyone is going say “yes”.
Naturally, assuming good faith on both sides, you could sign an Amendment extending the time for delivery.
Brian Madigan LL.B., Broker