An Ontario buyer's offer includes a financing condition stating that unless the buyer gives the seller written notice by 11:59 p.m. on March 15 that the condition is fulfilled, the offer is null and void and the deposit is returned. The buyer's mortgage is declined on March 14, and the buyer first tells the seller on March 17. What is the status of the agreement?
Correct Answer
B) It ended at the March 15 deadline and the buyer's deposit is returned
The condition is worded so that the agreement survives only if the buyer delivers written notice of fulfilment by 11:59 p.m. on March 15; otherwise the offer is null and void and the deposit is returned. No notice arrived by the deadline, so the agreement ended at that moment. Silence does not firm up this kind of condition, and a message on March 17 comes too late to change the result.
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A buyer submits an offer with a financing condition that expires at 11:59 PM on Friday. The buyer's mortgage is approved on the following Monday. What is the legal status of this offer?
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