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Ontario Real Estate Licensing Exam Practice · Question

During a transaction, the seller breached a fundamental term of the Agreement of Purchase and Sale, such as failing to provide vacant possession on closing. What action might the buyer's lawyer advise?

If a seller breaches a fundamental term of the contract, the buyer is entitled to seek legal remedies, which often include damages to compensate for any losses

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Question: During a transaction, the seller breached a fundamental term of the Agreement of Purchase and Sale, such as failing to provide vacant possession on closing. What action might the buyer's lawyer advise?

Answer options: ✅ Seeking damages for the breach of contract.

  • Waiting for the seller to rectify the situation on their own.
  • Applying to the Land Registry Office to enforce the contract.
  • Demanding immediate possession by force.

Correct answer: Seeking damages for the breach of contract.

Explanation: If a seller breaches a fundamental term of the contract, the buyer is entitled to seek legal remedies, which often include damages to compensate for any losses incurred due to the breach, in accordance with common law principles of contract law.

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