Be Sure Before You Sign!

A recent ruling from Ontario Superior Court, which confirmed that there was no common law right to import the principle of force majeure into an unconditional agreement of purchase and sale highlighted the importance for prospective purchasers to contemplate the risks of not adding conditions to their offers.

This recent case also emphasized the importance of having the required evidence before attempting to rely on the doctrine of frustration as a way out of an unconditional agreement.

In December, 2021, Donald and Margaret Liddell listed their home in Burlington, Ontario on the market with the intention of using the proceeds to fund the purchase of land in Prince Edward County where they could build a cottage and live out their retirement years. They began taking offers in late 2021 through early 2022, including an offer received in February, 2022 from Maria Mousavi. Ms. Mousavi and another purchaser ultimately engaged in a bidding war over the property, with