Several buyers of new condominium units sign their purchase agreement based on plans

Many buyers of new condominium units sign their purchase agreement based on plans. They learn at the notary's office.

Many buyers of new condominium units sign their purchase agreement based on plans. They learn at the notary's office, during the signing of the deed of sale, that the living area mentioned in the location certificate is smaller than the one stated in the purchase agreement. Promoters often respond that "this is the way things are done in the industry." Are they right or wrong?

For instance, a buyer, after signing a preliminary contract to purchase a condominium unit based on plans, discovers the week before the signing of the deed of sale that the living area has a 12% deficit. This leads to several meetings with the developer. The buyer asks for a price reduction, but the seller refuses, claiming that the architect's calculation includes the exterior walls. The seller refers the buyer to the contract, stating that the buyer "accepts that the purchase price will remain the same regardless of any difference in the area compared to the area mentioned in the preliminary plans." Faced with this refusal and the need to move, the buyer signs the deed of sale "subject to the right to claim a reduction in the sale price." And that is exactly what the buyer does. The court* reminds:

• "A seller is required to deliver the area indicated in the contract unless he can prove that the property was sold without regard to this area";
• "A clause stating that the area is approximate does not release the seller. Any ambiguities in the clause must be interpreted in favor of the buyer, under the Consumer Protection Act.";
• "The clause mentioning 'regardless of any difference in the area' does not provide sufficient information to allow a reasonable person to know that the living area would be sold at the same price, with a 12% reduction in its area";
• "The seller has failed to deliver the area as specified to the buyer."

The Court, considering that the contributory value related to the area deficit would be $113,000 according to the expert appraiser paid by the buyer, orders the seller to refund this amount.

Whether we think big or think small, just because something is smaller doesn't mean we should pay as if it were big, especially when an expert appraiser confirms it.