Blog

Blog

20 Jun

Agreement of Purchase and Sale not binding due to addition of unsigned Schedule (Ali v. Patel)

Thursday, June 20, 2024James R.G. CookLitigationReal Estate, Agreement of Purchase and Sale

SHARE:

In Ali v. Patel2024 ONSC 3505 (CanLII), the Ontario Superior Court of Justice determined that a binding agreement of purchase and sale had not been formed between a seller and buyer... 

Read the full post, click here.

27 May

Seller did not repudiate agreement of purchase and sale notwithstanding missed deadline (Vandermolen Homes Inc. v. Mani)

Monday, May 27, 2024James R.G. CookLitigationReal Estate, Agreement of Purchase and Sale

SHARE:

In cases where a buyer fails to complete the purchase of a property, they may try to argue that it was the seller who was in breach of the...

Read the full post, click here.

29 Jan

Specific performance ordered in cottage purchase dispute (Coffey v. High)

Monday, January 29, 2024James R.G. CookLitigationReal Estate, Agreement of Purchase and Sale

SHARE:

In cases where a seller has breached an agreement to transfer title to a property, a buyer may seek an... 

Read the full post, click here.

26 Jan

Sellers liable for deficiencies due to rectification of Agreement of Purchase and Sale (Melo v. Hiebert)

Friday, January 26, 2024James R.G. CookLitigationAgreement of Purchase and Sale, GTA Real Estate

SHARE:

The legal doctrine of rectification is a remedy that may be available to correct errors in an agreement to give effect to the true intentions of the...

Read the full post, click here.

20 Nov

Relisting of property before closing date did not amount to a repudiation of agreement of purchase and sale (Zoleta v. Singh and RE/MAX Twin City Realty)

Monday, November 20, 2023James R.G. CookLitigationAgreement of Purchase and Sale, Real Estate, Contract Law

SHARE:

If a buyer determines that they may not be able to complete a binding agreement to purchase a property by the agreed-upon completion date, they may wish to seek an extension of the...

Read the full post, click here.

19 Sep

Buyer fails to prove property re-sold for improvident price following aborted transaction (Switzer v. Petrie)

Tuesday, September 19, 2023James R.G. CookLitigationReal Estate, Agreement of Purchase and Sale

SHARE:

In collapsing real estate markets, buyers who fail to complete a purchase may face liability vastly exceeding any deposit they may have paid. In most cases, the...

Read the full post, click here.

25 Aug

Buyer’s failure to obtain severance amounted to anticipatory breach of contract (Stayside Corporation v. Cyndric Group)

Friday, August 25, 2023James R.G. CookLitigationReal Estate, Agreement of Purchase and Sale, Ontario Planning Act

SHARE:

Agreements for the sale of real estate may sometimes require one of the parties to complete certain steps before the transaction can be completed, such as...

Read the full post, click here.

8 Aug

Court refuses to impose 5 pm deadline for delivery of real estate closing proceeds (More v. 1362279 Ontario Ltd. (Seiko Homes))

Tuesday, August 8, 2023James R.G. Cook, Eli BordmanLitigationReal Estate, Agreement of Purchase and Sale

SHARE:

Real estate transactions may be scheduled to be completed by a certain time of day, depending on the wording of the Agreement of Purchase...

Read the full post, click here.

2 May

Seller not liable for water damage or foundation issues discovered after closing

Tuesday, May 2, 2023James R.G. CookLitigationAgreement of Purchase and Sale, Real Estate

SHARE:

Litigation between buyers and sellers often concerns whether or not a seller had an obligation to disclose deficiencies with a property that were discovered after closing.

Read the full post, click here.

23 Mar

Developer required to answer discovery questions about misleading other buyers

Thursday, March 23, 2023James R.G. CookLitigationAgreement of Purchase and Sale, Real Estate

SHARE:

During the course of litigation, plaintiffs may seek evidence that a defendant has engaged in a similar pattern of impugned conduct with other people who...

Read the full post, click here.

27 Jan

Seller allowed to re-schedule Tarion closing date following

Friday, January 27, 2023James R.G. CookLitigationOntario, Agreement of Purchase and Sale, Real Estate

SHARE:

New homes in Ontario may include a warranty from the builder for certain construction deficiencies and other...

Read the full post, click here.

9 Nov

Limitation Period bars claim for breach of Assignment of Agreement of Purchase and Sale

Wednesday, November 9, 2022James R.G. CookLitigationAgreement of Purchase and Sale, Real Estate, Limitation Periods, Limitations Act

SHARE:

In Ontario, there is a general two-year limitation period for claims relating to a breach of contract which starts on the day when a plaintiff discovers that damage from a breach occurred and knows that a legal proceeding would be an...

Read the full post, click here.

24 Jun

Relief from forfeiture not granted where buyer claimed lack of capacity to enter into real estate purchase agreement

Friday, June 24, 2022James R.G. CookLitigationAgreement of Purchase and Sale, Real Estate, Courts of Justice Act

SHARE:

As real estate markets fall, buyers are sometimes left scrambling to find alternate sources of financing when the available mortgage funds turn out...

Read the full post, click here.

23 Jun

Lawyer not vicariously liable to opposite party in failed real estate transaction

Thursday, June 23, 2022Stephen A. Thiele, James R.G. Cook, Daria RisteskaLitigationRules of Civil Procedure, Agreement of Purchase and Sale, Real Estate

SHARE:

There appears to be a growing propensity on the part of litigants to sue the opposite party’s lawyer when a transaction fails or something else...

Read the full post, click here.

21 Jun

Buyer breached duty of good faith in failing to complete assignment agreement

Tuesday, June 21, 2022James R.G. CookLitigationAgreement of Purchase and Sale, Town of Caledon, GTA Real Estate

SHARE:

Buyers of pre-construction properties in Ontario sometimes enter into an assignment agreement with another buyer before the completion...

Read the full post, click here.

15 Jun

Neighbour's management plan did not improperly divert equity from plaintiff property

Wednesday, June 15, 2022James R.G. CookLitigationAgreement of Purchase and Sale

SHARE:

The case of Rivas v. Anobile, 2022 ONSC 3446 (CanLII), demonstrates the issues that may arise when all the terms and objectives of an...

Read the full post, click here.

14 Jun

Environmental assessment firm not liable to buyer who did not commission their report

Tuesday, June 14, 2022James R.G. CookLitigationAgreement of Purchase and Sale

SHARE:

Buyers should be wary about relying on inspections, appraisals or other reports prepared by a company with whom they have not directly...

Read the full post, click here.

6 Jun

No “waiver by conduct” of financing condition in agreement of purchase and sale

Monday, June 6, 2022James R.G. CookLitigationCondominium, Agreement of Purchase and Sale, Real Estate

SHARE:

With the cooling of the real estate markets, buyers may be in a position to negotiate a limited time period to have a home inspection, arrange financing, or complete other due diligence before...

Read the full post, click here.

17 Mar

Property developer awarded $11 million in lost profits against seller who refused to complete transaction

Thursday, March 17, 2022James R.G. CookLitigationAgreement of Purchase and Sale, Real Estate

SHARE:

*Trial decision regarding damages overturned by Court of Appeal.

See Lost profits of $11 million not the appropriate measure of damages for aborted sale to developer (The Rosseau Group Inc. v. 2528061 Ontario Inc.)

Read the full post, click here.

8 Mar

Court refuses to impose 5 pm deadline for delivery of real estate closing proceeds

Tuesday, March 8, 2022James R.G. CookLitigationAgreement of Purchase and Sale, Real Estate, GTA Real Estate

SHARE:

Real estate transactions may be scheduled to be completed by a certain time of day, depending on the wording of the Agreement of Purchase and Sale (APS). In some cases ...

Read the full post, click here.

29 Nov

Sellers not allowed to rely on “escape clause” to accept a better offer

Monday, November 29, 2021James R.G. CookLitigation, Real EstateAgreement of Purchase and Sale, GTA Real Estate

SHARE:

In some cases, sellers may wish to ‘hedge their bets’ by accepting a conditional offer that contains a term allowing them to continue to market the property for sale until...

Read the full post, click here.

26 Oct

Buyers bound to agreement of purchase and sale negotiated by family friend

Tuesday, October 26, 2021James R.G. CookLitigation, Real EstateAgreement of Purchase and Sale, GTA Real Estate

SHARE:

Buyers who rely on real estate services provided by a family friend would do well to ensure that they are fully aware of the consequences of entering into a...

Read the full post, click here.

11 Aug

Buyer entitled to repudiate agreement after discovering water damage

Wednesday, August 11, 2021James R.G. CookLitigation, Real EstateAgreement of Purchase and Sale, GTA Real Estate

SHARE:

During the period between the time an Agreement of Purchase and Sale (APS) is signed and the completion date, a property being purchased usually remains in...

Read the full post, click here.

3 Aug

Buyers lose right to recover deposit after seller breaches agreement

Tuesday, August 3, 2021Litigation, Real EstateAgreement of Purchase and Sale

SHARE:

After an Agreement of Purchase and Sale (APS) is signed and a deposit is paid it may be weeks or months before the scheduled completion date. In the case of new properties under construction, it could be...

Read the full post, click here.

2 Jul

Seller entitled to repossess townhouse after buyer fails to complete purchase

Friday, July 2, 2021James R.G. CookLitigationReal Estate, GTA Real Estate, Agreement of Purchase and Sale

SHARE:

Sales of new condominiums and townhouses may sometimes allow a buyer to move into a unit on an “interim occupancy date” which may be several months before the purchase is scheduled to be finally...

Read the full post, click here.

4 Jun

Buyer’s failure to waive conditions nullifies agreement of purchase and sale

Friday, June 4, 2021James R.G. CookLitigationGTA Real Estate, Agreement of Purchase and Sale, Land Title Act

SHARE:

While conditional offers may be rare in the Greater Toronto Area, where multiple bidders compete for most properties, buyers in less heated markets may...

Read the full post, click here.

25 May

Buyer loses $100,000 deposit after refusing to purchase condominium

Tuesday, May 25, 2021James R.G. CookLitigationReal Estate, Agreement of Purchase and Sale, Ontario Court of Appeal

SHARE:

It is settled law in Ontario that when a buyer fails to complete an agreement of purchase and sale, the seller is entitled to retain the deposit without having to prove any loss. This means that...

Read the full post, click here.

3 May

Buyers’ liability to sellers in aborted real estate transactions - Part 2

Monday, May 3, 2021James R.G. CookLitigation, Real EstateAgreement of Purchase and Sale, GTA Real Estate

SHARE:

We have previously addressed a number of circumstances in which buyers unsuccessfully attempted to back out of a binding Agreement of Purchase and Sale (APS) for the purchase...

Read the full post, click here.

7 Apr

Owner of corporation personally liable for litigation misfeasance

Wednesday, April 7, 2021James R.G. CookLitigation, Real EstateAgreement of Purchase and Sale, Personal Liability, Ontario

SHARE:

One of the perceived benefits of using a corporation for real estate or other business transactions is to shield the individual owner from personal liability for costs and other...

Read the full post, click here.

22 Dec

Seller Not Responsible for Zoning or Future Use Limitations of a Property

Tuesday, December 22, 2020James R.G. CookLitigation, Real EstateZoning By-Law, Agreement of Purchase and Sale, Ontario

SHARE:

A recent decision of the Ontario Superior Court of Justice affirmed that preliminary discussions between a buyer and seller regarding the potential zoning or...

Read the full post, click here.

2 Dec

Misrepresentation in Square Footage leads to Rescission of Agreement of Purchase and Sale

Wednesday, December 2, 2020James R.G. CookLitigation, Real EstateAgreement of Purchase and Sale, Stouffville, Ontario Court of Appeal, Misrepresentation

SHARE:

A misrepresentation by the seller and real estate agent as to the square footage of a residential property in Stouffville, Ontario resulted in the rescission of the Agreement of Purchase and Sale...

Read the full post, click here.

23 Oct

Discovery of Water Damage Insufficient to Terminate Real Estate Purchase Transaction

Friday, October 23, 2020James R.G. CookLitigation, Real EstateAgreement of Purchase and Sale, Damages, Flooding, Insurance Policy

SHARE:

In Bilotta v. Booth, 2020 ONCA 522, the Ontario Court of Appeal determined that the buyer of a residential property did not have the right to...

Read the full post, click here.

20 Oct

Real Estate Investor's Claim for Lost Opportunity Damages Rejected

Tuesday, October 20, 2020James R.G. CookLitigation, Real EstateAgreement of Purchase and Sale, Damages

SHARE:

In Akelius Canada Inc. v. 2436196 Ontario Inc., 2020 ONSC 6182 (CanLII), the Ontario Superior Court of Justice...

Read the full post, click here.

2 Sep

Buyer's Claim for Lost Value Damages of a Residential Subdivision Home

Wednesday, September 2, 2020James R.G. CookLitigation, Real EstateAgreement of Purchase and Sale, Contract Law, Damages

SHARE:

The party seeking damages arising from a failed real estate transaction is often the seller, who seeks to recover the agreed-upon sale price from a buyer. Conversely, when a seller breaches the agreement...

Read the full post, click here.

Subscribe Now