From time to time, the issue of a “true copy’ of an agreement comes up. Just what is it?
Let’s assume that we are dealing with hard copies of an Offer, The Buyer’s agent prepares four copies and after some back and forth negotiations the matter goes on until midnight.
In play, is only one piece of paper and the final deal is struck. Now, it’s far too late to go back to the Brokerage to make copies, but, the Listing agent wishes to retain the one single, original copy evidencing the deal.
Now, it would be good for the Seller, the Buyer’s agent and the Buyer all to have copies.
There are no photocopiers around, so let’s make a “true copy”.
There are three extra copies which were signed initially (or not signed at all) in the possession of the Buyer’s agent. Let’s pull them out of the briefcase and mark them up.
It’s not necessary to note all the back and forth negotiations, just the final deal.
So, go to the price, the final amount was $875,000.00. Then, there are two initials, one from Sam Jones the Seller, and the other from John Smith the Buyer.
On that line, then note “SJ” and “JS” just where their initials appeared.
That same approach should be taken with respect to every other change. When it comes to the actual signatures, they should also appear in quotes marks:
The quote marks are the indication that there is an original out there which is actually signed.
At the top of the first page should appear the handwritten words “True Copy”.
And, that’s all there is to it.
You can appreciate that this True Copy business has now fallen into disuse. Everyone has a printer scanner in their house and everyone has a cellphone. So, they would now just photocopy or scan the Agreement.
Brian Madigan LL.B., Broker