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Ontario Real Estate Licensing Exam Practice · Question

Liam, a seller in North York, accepts an offer from Emily. However, Emily later discovers significant undisclosed structural damage before closing. Her salesperson advises her about potential remedies. Which of the following is NOT typically a remedy available to Emily?

Specific performance is an equitable remedy typically sought to compel a breaching party to fulfill their contractual obligations, often used by sellers to forc

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Question: Liam, a seller in North York, accepts an offer from Emily. However, Emily later discovers significant undisclosed structural damage before closing. Her salesperson advises her about potential remedies. Which of the following is NOT typically a remedy available to Emily?

Answer options:

  • Rescission of the contract, returning both parties to their original positions. ✅ Specific performance, forcing Liam to complete the sale despite the damage.
  • Damages, an award of monetary compensation for losses incurred.
  • Rectification, if the written contract does not accurately reflect their true agreement.

Correct answer: Specific performance, forcing Liam to complete the sale despite the damage.

Explanation: Specific performance is an equitable remedy typically sought to compel a breaching party to fulfill their contractual obligations, often used by sellers to force a buyer to close. It would be highly unlikely for a buyer to seek specific performance if they discovered undisclosed damage, as they would likely want out of the contract or monetary compensation.

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