"Agreement of Purchase and Sale" (Schedules)

 


By Brian Madigan LL.B.

(ORES)

A significant distinction between the current standard form agreement of purchase and sale, and documents in use 15 or 20 years ago is the use of Schedules.

Let's have a look at the standard form agreement of purchase and sale and see what it says regarding Schedules:


"Buyer agrees to pay the balance as more particularly set out in Schedule A attached.

SCHEDULE (S)
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .attached hereto form(s) part of this Agreement."

First, it is anticipated that there will be at least one schedule to every agreement of purchase and sale, since that contains the provision about the payment of the balance of the purchase price.

In fact, all other terms, conditions and provisions of the agreement which are particular to the transaction at hand are to be contained in a schedule, usually designated as Schedule A. The balance of the standard form is generic.

Other schedules should be identified and attached. These would include, among other things:

· A description of the property

· A copy of a survey

· A mortgage statement

· A provision concerning interest earned upon the deposit

· A list of repairs, or defects etc.

· A copy of a lease

· A copy of a restrictive covenant o title


The method of operating conveniently with the document is to attach relevant information by way of a schedule or series of schedules.

Each such schedule should be identified and marked accordingly, usually commencing with B, then C and so on.

A further breakdown of attachments can be made using an Appendix or Exhibit as the category.

COMMENT

The careful practitioner will make a very effective use of schedules in the creation, drafting and negotiation of an agreement.


Brian Madigan LL.B., Real Estate Broker, is an author and commentator on real estate markets, finances and law
www.OntarioRealEstateSource.com
 
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2 Comments on Agreement of Purchase and Sale (Schedules)

MAR
10
2010
333,351 Points 4 Featured Posts

Brian:

Operating conveniently are 2 great words. I have seen a 7 page Schedule "A" not only jam packed with conditions but real pertinent info that seems to get lost in the jungle.

At least it is on a Schedule!

Ty
1:50pm • #1
869,196 Points 5 Featured Posts

Ty,

When I read your comments I didn't realize that I had actually used the expression "operating conveniently". You are right, it's a good phrase and I'm going to use it again.

Brian
8:08pm • #2


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Brian Madigan LL.B.

Toronto, ON

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RE/MAX West Realty Inc., Brokerage (Toronto)

Address: Toronto, Mississauga, Oakville, Brampton, Caledon, Thornhill, Greater Toronto Area, http://www.iSourceRealEstate.com

Office Phone: (416) 745-2300

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