A buyer submits an offer with a home inspection condition that must be satisfied by 5:00 PM on Friday. The buyer's agent calls the listing agent at 4:45 PM Friday to verbally waive the condition. What is the legal status of this waiver?
Correct Answer
D) The waiver is invalid because it was not submitted in writing
In real estate contracts, waivers of conditions must typically be in writing to be legally enforceable. Verbal communications, even if made before deadlines, do not satisfy the written notice requirements specified in most standard Agreement of Purchase and Sale forms.
Why This Is the Correct Answer
Option D is correct because Canadian real estate law and standard Agreement of Purchase and Sale forms require condition waivers to be submitted in writing. This requirement is found in provincial real estate legislation and standard form contracts used across Canada. Verbal communications, regardless of timing, do not satisfy the written notice requirements. The written requirement ensures clarity, prevents disputes, and creates proper documentation for the transaction file, which is essential for regulatory compliance and legal protection.
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A buyer submits an offer with a financing condition that must be satisfied within 5 business days. On day 4, the buyer's mortgage application is approved but they want better terms. What can the buyer legally do?
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A buyer submits an offer with a home inspection condition that must be satisfied by 5:00 PM on Friday. At 3:00 PM Friday, the buyer's agent emails the seller's agent stating the inspection condition is waived. What is the legal status of this waiver?