Amendment to Agreement of Purchase and Sale Ontario: What You Need to Know
When purchasing a property in Ontario, buyers and sellers enter into an Agreement of Purchase and Sale (APS). This document outlines the terms and conditions of the transaction, including the purchase price, closing date, and other important details.
However, what happens if something changes after the APS has been signed? This is where an amendment to the APS comes in. An amendment is a legal document that modifies or adds to the terms of the original APS.
Why Make an Amendment?
There are a few reasons why an amendment may need to be made to an APS:
1. Changes in the Purchase Price: Perhaps the buyer and seller have agreed to change the purchase price of the property.
2. Closing Date Extension: Maybe one or both parties need more time to finalize the sale, so they agree to extend the closing date.
3. New Terms or Conditions: Perhaps new conditions have arisen, such as the discovery of a defect in the property. Parties may agree to modify the APS to reflect these new terms and conditions.
How to Make an Amendment to an APS
To make an amendment to an APS, both parties must agree to the changes and sign the amendment document. The amendment should clearly state what is being changed or added, and reference the original APS by date and title. Any changes should be completed in ink and initialed by both parties.
It is important to note that an amendment should not contradict the original APS, and any changes should be legal and enforceable. Additionally, if there are any doubts about the legality of making a particular amendment, parties should consult a lawyer before proceeding.
An amendment to an Agreement of Purchase and Sale is a useful tool for buyers and sellers in Ontario, allowing both parties to modify or add to the terms of the original agreement. It is important that any changes are agreed upon by both parties and are legal and enforceable. If you have any questions about making an amendment, consult a lawyer to ensure that your interests are protected.