Tutorial Guide

The biggest issue with the sale of a condominium is special assessments.The Real Estate Purchase Contract clarifies that the seller is responsible for any assessments in place before the closing. However, if they are not payable until after the closing date or there is still money owing on the previous assessment, this can interfere with closing.

The biggest issue is a failure to determine whether the closing will take place using Title Insurance or a Real Property Report with compliance.  We recommend to all sellers that they discuss these options with their realtor well in advance of listing the property.  Then the listing itself can state whether the seller will provide Title Insurance or a Real Property Report with compliance.

Are you wondering about your personal liability if you incorporate? Shareholders are never personally liable for the debts of a corporation. They can lose all the money they have invested. However, they are not liable for any outstanding corporate debts or liabilities. Directors are personally liable for a short list of items.  This includes government remittances such as GST and employee deductions and other items such as environmental pollution.  Of course, anyone who has provided a Personal Guarantee for a corporate debt or liability is personally liable under the terms of that Guarantee.

A USA is a Unanimous Shareholders Agreement. This essential document governs the ongoing relationship between the shareholders and typically provides an exit strategy through processes such as a first option, a right to sell, or a shotgun buy-sell. Without a USA, it is challenging for a private company shareholder to get out if the other shareholders refuse to cooperate.  It is equally difficult for remaining shareholders to remove an existing shareholder in the absence of a USA.

Generally, a Grant of Probate is required whenever a third party controls, manages or registers any property ownership. This includes land, bank accounts, and other investments. A Grant of Probate is not required to deal with personal belongings and household furnishings. In many cases, when one spouse dies, a Grant of Probate is not required as everything is in joint names.

We often get clients asking us if they can do their own Will; the short answer is yes. The better answer is be careful. We have had far more issues in our experience, leading to a lot of resentment and expensive legal fees with a home-made Will than we have ever had with someone who dies without a Will.