A buyer pays a $50,000 deposit to a declarant on a proposed condominium unit. Under s. 81 of the Condominium Act, 1998, when must the declarant give the buyer written evidence that the deposit is being held in trust as the Act requires?
Correct Answer
D) Within 10 days of payment
Section 81(1) requires deposits on proposed units to be received and held in trust by a prescribed trustee or the declarant's solicitor, and s. 81(6) requires the declarant, within 10 days of the payment, to give the payer written evidence in the Minister's prescribed form of compliance with the trust requirements.
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A buyer pays $60,000 in deposits under an agreement for a proposed condominium unit. The declarant secures them with a deposit receipt from the warranty corporation that limits its liability to the minimum the regulation allows. How is the $60,000 protected?
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