How have the courts interpreted the provisions in the closing deed of a real estate transaction?

Ontario, Canada


The following excerpt is from Philp v. Brunelle, 2016 ONCA 385 (CanLII):

These findings were fatal to the appellant’s claims, and the appellant has not demonstrated any error which would justify appellate intervention. Given the particular provision dealing with any shortfall in the number of residents on the date of closing, it was not unreasonable for the trial judge to conclude, in effect, that the parties intended that this promise would merge in the deed on closing. As observed in Fraser-Reid v. Droumtsekas, 1979 CanLII 55 (SCC), [1980] 1 S.C.R. 720 at p. 738, “[t]here is no presumption of merger.” Rather, the proper inquiry is whether the facts disclose a common intention to merge the warranty in the deed.

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