An Ontario purchase agreement contains a financing condition stating that, unless the buyer gives written notice that the condition is fulfilled by 11:59 p.m. on a set date, the offer is null and void. Time is of the essence. The buyer sends the notice at 9:00 a.m. the next morning. What is the status of the agreement?
Correct Answer
B) The agreement became null and void at the missed deadline
Under the standard condition wording, if the buyer does not give written notice of fulfilment by the deadline, the offer is null and void. With time of the essence, a notice sent at 9:00 a.m. the next day is too late, so the agreement ended at 11:59 p.m. Reviving the deal would require a new or amending agreement signed by both parties.
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