Have An Agreement? Get It In Writing.

As the title says, a recent decision by the Ontario Court of Appeal came with a simple and straightforward message.

In Downey v. Arey, Heather Downey and her partner, Frank Marchese, sought to enforce an oral agreement with Ms. Downey's father, Douglas Arey, to sell them the family home in Mississauga. The trial judge found that there was no enforceable agreement because one fundamental term—the purchase price—was uncertain. And even if the parties had agreed on the purchase price, the trial judge found there was no agreement regarding the extension of the closing date.

The home was Mr. Arey's most significant asset. When asked why there was no written contract for the transfer of the home, Mr. Arey said, first, that he trusted his family. Second, he said, "That's a good question."