Currently looking to bid at an auction in a couple of weeks. The property has been subdivided with a unit at the rear. This is fine, however there is a clause in the contract of sale which states that the Plan of Subdivision (POS) has not been registered with the Land Titles Office.
The clause goes on to say that the vendor has the responsibility to register the POS (which is good) and that both parties can rescind the contract of sale if the POS is not accepted/registered within 3 months from the date of sale (again this is good).
The worrying part is this - a further clause that the vendor has the right to alter the POS to enable it to be accepted by the Land Titles Office (this seems bad). In that event, the Purchaser then waives any right to compensation etc. in any changes made to the POS whether in boundaries, measurements etc. (very bad).
Essentially, this clause is saying that the land you buy at auction and that eventually registered under the POS could be different and there's no right to the purchaser to terminate the contract in the event of any changes. This seems extremely unfair.
Is it appropriate here to suggest an amendment to the contract that a right of termination is applicable to the Purchaser if the POS in the contract is changed in any way to become registered? Or is it that any changes for registration are not as drastic as I am thinking they can be?
The clause goes on to say that the vendor has the responsibility to register the POS (which is good) and that both parties can rescind the contract of sale if the POS is not accepted/registered within 3 months from the date of sale (again this is good).
The worrying part is this - a further clause that the vendor has the right to alter the POS to enable it to be accepted by the Land Titles Office (this seems bad). In that event, the Purchaser then waives any right to compensation etc. in any changes made to the POS whether in boundaries, measurements etc. (very bad).
Essentially, this clause is saying that the land you buy at auction and that eventually registered under the POS could be different and there's no right to the purchaser to terminate the contract in the event of any changes. This seems extremely unfair.
Is it appropriate here to suggest an amendment to the contract that a right of termination is applicable to the Purchaser if the POS in the contract is changed in any way to become registered? Or is it that any changes for registration are not as drastic as I am thinking they can be?
