In this highly volatile market of limited inventory and wildly fluctuating prices, a recent Court decision (October 2021, Pomata Investment v. Yang) reminds us of the serious consequences that may result for a Buyer who refuses to Close a transaction without a valid legal reason. Facts: the Buyer had entered into a firm agreement, in September 2016, for the purchase of a new build home for $2,200,000.00. Given the market conditions at that time, the Buyer believed that they w

Could the Pandemic be a reason for frustrating an Agreement of Purchase and Sale thereby ending the Agreement and excusing any performance or liability under the Agreement by either party? This is the question for 2020! Under Ontario law the legal doctrine of “Frustration” of Contract could terminate an Agreement when an unforeseen event has resulted in performance of the Agreement becoming “impossible” to perform, or a thing “ radically different” from what the parties origi