Buying a home is stressful for the majority of people. However, for most sellers, it is rather a liberating act from stress, except if in the subsequent years, they receive a claim following the discovery of a hidden defect.
Becoming the buyer of a residence is stressful for the majority of people. However, for most sellers, it is rather a liberating act of stress, unless in the subsequent years, they receive a claim following the discovery of a hidden defect.
Thus, buyers, following a pre-purchase inspection and after paying $145,000 for a ancestral residence over 150 years old, are suing their seller for over $50,000. The buyers claim that the seller is subject to the warranty of quality since the property was sold to them with a legal guarantee. The evidence shows that the seller did not want to hide anything and even mentioned that the residence "had a serious problem in winter caused by a lack of insulation."
The court* concludes that, following the pre-purchase inspection, the "house revealed signs that commanded [the buyers] to continue their investigation," something they neglected to do, instead using the inspection report as a maintenance manual. Therefore, the buyers' claim is dismissed.
It should be noted that to invoke the warranty of quality, "the defect must be both serious, have existed at the time of the sale, be hidden and unknown to the buyer." Case law takes into consideration "the status of the seller, the buyer, the nature, age and price of the building, the type of defect and sometimes, the parties' behavior itself."
The best way for the seller to avoid post-traumatic stress or rather "post-transaction" stress, if they have nothing to hide, is to sell their property without legal warranty.
*Court of Appeal Quebec (200-09-008262-146)
