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Tag Archives: due diligence

Legal warranties: when selling real estate in Québec, silence will be used against you in a court of law

Posted in Commercial

One not familiar with the special set of rules outlined in the Civil Code of Québec (the “Civil Code”) will likely be in for a big surprise when selling real estate assets in La Belle Province: if the contractual documentation does not expressly exclude the legal warranties provided for in the Civil Code, the vendor will end up granting to the purchaser a “warranty of ownership” and a “warranty of quality” with respect to the immovable assets being transferred.… Continue Reading

Québec off-title searches – A Rumsfeldian adventure

Posted in Municipal

There are many differences and misconceptions about Québec off-title searches that resemble Don Rumsfeld’s famous speech.

The first is that responses are typically available only after thirty days and beyond most due diligence periods, creating the “unkown unkowns” category.

If the transaction allows time for receipt before waiver and violations disclosed ( the “known knowns”) the reader must then further inquire as to whether the violations are outstanding (typically authorities do not necessarily follow up or note corrections).  Violations are also often dated, possibly time barred or tenant matters. Regulators are also not required to note corrections (often loath to … Continue Reading