Samantha is representing a buyer for a pre-construction condominium in Toronto. The Agreement of Purchase and Sale includes a clause stating that the developer will complete the unit with hardwood flooring, as per the model suite. What is the legal nature of this clause?

Question: Samantha is representing a buyer for a pre-construction condominium in Toronto. The Agreement of Purchase and Sale includes a clause stating that the developer will complete the unit with hardwood flooring, as per the model suite. What is the legal nature of this clause?

Answer options:

• A condition precedent, as it must be fulfilled before closing. ✅ A warranty, as it is a less important term and breach would lead to damages.
• A fundamental term, breach of which would allow the buyer to terminate.
• An express condition, allowing for termination if not met.

Correct answer: A warranty, as it is a less important term and breach would lead to damages.

Explanation: This would generally be considered a warranty, which is a subsidiary agreement to the main purpose of the contract. A breach of a warranty typically gives rise to a claim for damages, not termination of the contract, unless specified otherwise or it's a fundamental breach.