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ARTICLE · 17 AUGUST 2011

Quebec Real Estate Broker Has Duty To Advise On Decontamination Costs

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A recent judgment of the Court of Quebec should give pause to real estate brokers working in the province.

CanadaEnvironment
Blake, Cassels & Graydon LLP
Blake, Cassels & Graydon LLP
Daniel Ferreira
Daniel Ferreira
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Copyright 2011, Blake, Cassels & Graydon LLP

Originally published in Blakes Bulletin on Environmental and Real Estate, August 2011

A recent judgment of the Court of Quebec should give pause to real estate brokers working in the province. On June 14, 2011, in Les Immeubles Bruce Miller v. Thermitech Inspection, the Honourable Armando Aznar decided that, even though the client had accepted an offer to purchase for its property (later cancelled by agreement with the buyer), the broker was not entitled to claim its commission because the broker had failed to inform its client adequately about potential costs associated with decontaminating the site.

Facts

Thermitech Inspection Inc. (the Client) hired Les Immeubles Bruce Miller Inc. (the Broker) to find a buyer for its property. The Client received an offer of C$325,000 from a potential buyer (the Buyer), whom the Broker was also representing. The offer was drafted by the Broker and contained the following clause:

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