Latent Defects

Property Disclosure Statement Revised and Released Alongside New Online Course

The British Columbia Real Estate Association (BCREA), in collaboration with the provincial Standard Forms Committee, BC’s 11 real estate boards and other stakeholders, has updated the Property Disclosure Statement (PDS). The updated PDS is now available on WEBForms®. What are the changes to the form? As a response to several issues impacting the BC real

Buyers’ Due Diligence Obligations #452

Legally Speaking

By Jennifer CleeB.A., LL.B. There have been a number of recent articles on a seller’s obligation to make full and complete disclosure of all issues respecting property offered for sale. What about a buyer’s obligation when purchasing property? Most licensees are familiar with the doctrine of caveat emptor or ‘buyer beware.’ That maxim holds that

Underground Storage Tanks: A Refresher #434

Legally Speaking

By Jennifer Clee For properties built before 1957, the presence of an underground oil storage tank (UST) poses significant environmental and financial risk to buyers and sellers. Not only are properties with USTs at risk of oil contamination from leaking or eroding USTs, properties adjacent to the affected properties are at risk as well. Provincial

Defects, Disclosure and Caveat Emptor #430

Legally Speaking

By Jennifer CleeB.A., LL.B. It’s trite law that a seller and a listing REALTOR® have a duty to disclose known material latent defects, but not patent defects. Sometimes the distinction as to what constitutes a patent defect or a latent defect isn’t clear. Take a sump pump in the crawl space, for instance. Is it

Latent defects – endangered bird species and heritage designation #387

Legally Speaking

By Gerry NeelyB.A. LL.B. An Ontario real estate salesperson learned more than he ever expected or wanted to about the Loggerhead Shrike (eastern population), “a songbird that hunted like a small hawk,” on the federal and provincial endangered species lists. He acted as dual agent on a 129-acre parcel of land, under an agreement not

More Caveat Emptor, Latent and Patent Examples #384

Legally Speaking

By Gerry NeelyB.A. LL.B. The owners of a house, which was old when they bought it in 1979, sold it in 1994 to buyers who discovered after completion that the kitchen floor sloped 2.5 to five centimetres from one side to the other. The buyers elected not to retain a home inspector, although there were

Caveat Emptor and Seller’s Lack of Knowledge of a Latent Defect #383

Legally Speaking

By Gerry NeelyB.A. LL.B. A Supreme Court judge concluded the following advertisement by a representative for the sale of a lot implied a warranty that the buyer could commence construction of a house without unusual expense or building methods:”0.59 (acre) building site in an area of executive homes. South West view property. Fully serviced lot.

Soil Contaminated Sites #138

Legally Speaking

By Gerry NeelyB.A. LL.B. What do gas stations with underground tanks, sawmills, pulp mills, paint manufacturing shops, dry-cleaners, shipyards, truck parking yards for moving or fuel companies, junkyards, farms and 63 McClure Crescent, Scarborough, Ontario have in common? With the exception of 63 McClure Crescent, each is a potential site for soils contaminated by the

Breach of Duty and Fraudulent Misrepresentation #129

Legally Speaking

By Gerry Neely B.A. LL.B Termites, latent defect, non-disclosure, breach of duty, fraudulent misrepresentation, and all occurring in Toronto. A young couple purchased a home in an area of termite infestation which had started about five years prior to their purchase. They were aware of this problem because an earlier conditional offer made by them

Defects, Duty to Disclose Those That Are Reasonably Discoverable #66

Legally Speaking

By Gerry NeelyB.A. LL.B. We import more than fruit, vegetables, movies and the Beach Boys from California; now we may be importing their law. A licensee has forwarded a reference to a decision of the California Supreme Court which contains reasons similar to those of a recent British Columbia decision concerning the duty of an