A buyer submitted an offer to purchase a strata unit at The Pinnacle, 789 Robson Street, Vancouver, BC, for $800,000, with a subject condition that they obtain and approve a satisfactory depreciation report by 5:00 PM on June 15th. The contract specified 'time is of the essence'. The buyer’s agent receives the depreciation report at 4:30 PM on June 15th, and due to a detailed engineering assessment within, the buyer is unable to review and make a decision to waive or collapse the condition by the deadline. What is the status of the contract?

Question: A buyer submitted an offer to purchase a strata unit at The Pinnacle, 789 Robson Street, Vancouver, BC, for $800,000, with a subject condition that they obtain and approve a satisfactory depreciation report by 5:00 PM on June 15th. The contract specified 'time is of the essence'. The buyer’s agent receives the depreciation report at 4:30 PM on June 15th, and due to a detailed engineering assessment within, the buyer is unable to review and make a decision to waive or collapse the condition by the deadline. What is the status of the contract?

Answer options:

• The contract is still valid, and the buyer has a reasonable time after June 15th to review the report. ✅ The contract became null and void at 5:00 PM on June 15th, as the condition was neither waived nor fulfilled.
• The buyer can unilaterally extend the condition removal date because the report was received late in the day.
• The seller can pursue specific performance against the buyer since the buyer received the report before the deadline.

Correct answer: The contract became null and void at 5:00 PM on June 15th, as the condition was neither waived nor fulfilled.

Explanation: When 'time is of the essence' is stated, strict adherence to deadlines is critical. If a subject condition is not explicitly waived or fulfilled by the specified time, the contract typically terminates automatically.