It would appear that there is an opportunity for an Inspection just before closing.
The Buyer is entitled to see if there is any substantial damage which would entitle them to terminate the agreement.
That’s a significant threshold. In this inspection, we need two elements:
- Substantial damage
- Sufficient to warrant termination
So, we are looking to see whether there has been substantial damage due to flooding, or fire or the fact that the basement appears to be structurally unsound etc.
This inspection is not for testing appliances.
This inspection is based upon the common law, summarized in Harkness v. Cooney.
This gets you in the front door with an opportunity to walk around to determine if there is substantial damage such that you might exercise your right to terminate the transaction. That’s a significant challenge!
When it comes to testing the appliances, then you should have written that into the Agreement. If so, then you have that right contractually. It certainly did not arise at common law.
Brian Madigan LL.B., Broker