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Legal blog > Real estate > As seen, does not equate to a waiver of the seller's warranty

As seen, does not equate to a waiver of the seller's warranty

The sale or purchase of a property can sometimes turn out to be a pot of little bitter surprises.

«The bean seller always says they cook well»
Robert Louis Stevenson

The sale or purchase of a property can sometimes turn out to be a stew of bitter surprises.

So, Monsieur signs a purchase offer so that himself or "a company to be designated by him" becomes the buyer of a "ready-to-build land". After the signing of the deed of sale by the company, with the final selling price, the company discovers, during excavation work, debris from backfill. The seller is immediately notified and this results in numerous meetings between the two parties. The company "decontaminates" the land, pays the balance due to the seller, deducted "from the additional costs imposed by the discovery of the debris."

Unsatisfied, the seller turns to the Court* to claim from the company and Monsieur the sums still owed to him. The court rejects the personal claim against Monsieur since the signed offer is an "alternative commitment to acquire, either by Monsieur or a company" and this commitment has been respected by the company.

The Court concludes that the aforementioned company cannot offset the balance due to the seller for the costs incurred in the context of the excavation work since the expenses were not due and payable at the time of payment. Although the deed of sale contains a mention that the land is bought "as seen", the seller must reimburse the company for the expenses it incurred. This mention does not amount to "a waiver of the legal warranty, especially since the land was sold with a warranty "suitable for immediate construction". The seller had to explicitly limit his responsibilities, which he failed to do.

Once a sale is signed, even if you think that the carrots are cooked, don't forget that the beans, so highly praised, could be even more cooked.

*C.A. 200-09-006477-084
François Forget, notary and legal advisor, along with the entire team at ScriptaLegal, are here to assist you with the preparation of your legal documents and to answer all your legal questions.
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