SALE OF LAND - Agreement of purchase and sale - Breach of - Vendor

Law360 Canada (February 3, 2021, 6:25 AM EST) -- Appeal by the purchasers from partial summary judgment declaring that they breached the Agreements for the purchase of two abutting residential properties. The appellants were unable to close for lack of financing. The appellants argued they entered into two separate Agreements for the conveyance of abutting lands which contravened the Planning Act and that the respondent seller delivered a defective Statutory Declaration prior to the first scheduled closing. The seller blacked out the word “not”, so that it read that the seller would retain the title in abutting property after closing of each of the two transactions, thereby contravening the subdivision control provisions of the Planning Act. The motion judge viewed the Agreements as constituting in substance a single transaction that did not sever the lands. He found that the Buyers breached the Agreements when they failed to pay the amounts due on closing. The motion judge held that the facts regarding the breach of contract issue were not in dispute, making this one of the rare cases in which partial summary judgment was appropriate. He directed a trial on the issues of damages and forfeiture of the deposit....
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