C-73.1, r. 2 - By-law of the Association des courtiers et agents immobiliers du Québec

Full text
SCHEDULE 1
(s. 87)
PROMISE TO PURCHASE


LOGO PROMISE TO PURCHASE

This form does not constitute the preliminary contract required under
articles 1785 and following of the Civil Code where an existing
or planned residential IMMOVABLE is sold by the builder or a promoter to
a natural person who acquires it to occupy it, whether or not the sale
includes the transfer to him of the seller’s rights over the land.

1. IDENTIFICATION OF THE PARTIES



Name of buyer 1 _________________________________________________________

Address of buyer 1 ________________________(postal code) (telephone no.)

Name of buyer 2 _________________________________________________________

Address of buyer 2 ________________________(postal code) (telephone no.)
(hereinafter called the BUYER)


Name of seller 1 ________________________________________________________

Address of seller 1 ________________________(postal code) (telephone no.)

Name of seller 2_________________________________________________________

Address of seller 2 ________________________(postal code) (telephone no.)
(hereinafter called the SELLER)

2. OBJECT OF THE CONTRACT


2.1 The BUYER hereby promises to purchase, through _________________________,
real estate broker, represented by __________(certificate number of real
estate agent or affiliated real estate broker), the immovable described
hereinafter, at the price and under the conditions stated below.

3. SUMMARY DESCRIPTION OF THE IMMOVABLE


3.1 ADDRESS:________________________ (number, street, city)__________________

3.2 THE IMMOVABLE, with construction erected thereon, is designated as
follows:

Cadastral designation: _______ (lot number, subdivision) ________________
(name of official cadastre)

Measuring:_________________, for an area of _____________________________

The IMMOVABLE is held in □ divided co-ownership
□ undivided co-ownership for
a share equal to _______%.

The IMMOVABLE held in co-ownership includes ____ parking space(s)
(nos ____________) and ________storage space(s) (nos ____________).
(hereinafter called the IMMOVABLE)

4. PRICE AND DEPOSIT


4.1 PRICE The purchase price shall be ____________________ dollars (______$),
which the BUYER agrees to pay in full upon the signing of the act of
sale, unless another method of payment is provided for hereinafter. Any
goods and services tax, Québec sales tax or other tax that may be
imposed as a result of the sale and that is to be collected by the
SELLER under the applicable taxation laws shall, upon the signing of the
act of sale, be remitted by the BUYER to the SELLER for those purposes.

4.2 DEPOSIT With this PROMISE TO PURCHASE, the BUYER remits to the
intermediary referred to above, as an instalment on the sale price to be
paid, the sum of _________________________________ dollars (_________ $)
by cheque payable to the order of “ ________________(name of listing
broker) in trust” (hereinafter called the TRUSTEE). Following the
acceptance of this PROMISE TO PURCHASE, the cheque may be certified and
shall be given to the TRUSTEE, who shall deposit it into a trust account
until the signing of the act of sale, whereupon that sum shall be applied
against the purchase price. As soon as he has deposited that sum into a
trust account, the TRUSTEE shall give the depositor a receipt. Should
this PROMISE TO PURCHASE become null and void, the TRUSTEE shall
immediately refund the deposit to the BUYER without interest. Otherwise,
the TRUSTEE may use that deposit only in accordance with this PROMISE TO
PURCHASE.

5. DECLARATIONS AND OBLIGATIONS OF THE BUYER


5.1 DECLARATIONS Unless stipulated otherwise hereinafter, the BUYER has
examined the IMMOVABLE and declares that he is satisfied therewith.

5.2 Unless stipulated otherwise hereinafter, the BUYER has also examined,
where applicable, the declaration of co-ownership, including the by-laws
of the IMMOVABLE, and declares that he is satisfied therewith.

5.3 TAXES The BUYER undertakes, after the signing of that act of sale, to pay
any applicable transfer duties.

5.4 COSTS The BUYER undertakes to assume the costs of the act of sale, of its
publication and of the copies required.

5.5 NON-ASSIGNABILITY The BUYER undertakes not to sell, assign or otherwise
alienate his rights in this PROMISE TO PURCHASE without obtaining the
prior written consent of the SELLER.

6. DECLARATIONS AND OBLIGATIONS OF THE SELLER


6.1 DECLARATIONS The SELLER declares, unless stipulated otherwise
hereinafter, that:

(a) he is not aware of any factor relating to the IMMOVABLE and liable to
significantly reduce the value thereof, reduce the income generated
thereby or increase the expenses relating thereto, except; __________
_____________________________________________________________________

(b) he has not received any notice from a competent authority indicating
that the IMMOVABLE does not conform to the laws and regulations in
force, or any notice from an insurer, following which he has not fully
remedied the defect declared in either notice, except; ______________
_____________________________________________________________________

(c) he is not a non-resident of Canada within the meaning of the
provincial and federal taxation laws; _______________________________

(d) the municipality concerned provides water and sewer services to the
IMMOVABLE; __________________________________________________________

(e) the IMMOVABLE is not part of a housing complex within the meaning of
the Act respecting the Régie du logement (chapter R-8.1);
______________________________________________________________________

(f) the IMMOVABLE is not subject to the Act respecting preservation agricultural land and agricultural activities (chapter P-41.1);
_____________________________________________________________________

(g) the IMMOVABLE is not classified or recognized cultural property and is
not situated in a historic or natural district, on a classified
historic site or in a protected area provided for in the Cultural
Property Act (chapter B-4); ______________________________________

(h) the IMMOVABLE conforms to the laws and regulations relating to
protection of the environment; ______________________________________

(i) in the case of an IMMOVABLE under lease, the SELLER makes the following
declarations:

i. the rents bring in at least __________________________________ dollars

($________) per year and the leases expire on; _________________________;

ii. no notice liable to amend the leases has been sent by any of the
parties and no proceedings are pending before the Régie du logement;

iii. he has not received any notice from a lessee or from the spouse of a
lessee to the effect that the IMMOVABLE or part thereof is used as a
family residence _______________________________________________________;

(j) other declarations _________________________________________________.

6.2 DELIVERY OF THE IMMOVABLE The SELLER promises to sell the IMMOVABLE to
the BUYER and, unless stipulated otherwise hereinafter, undertakes to
deliver the IMMOVABLE in the condition that it was in when the BUYER
examined it_______________________________________________________________
_________________________________________________________________________.

6.3 COSTS RELATING TO REPAYMENT AND CANCELLATION The costs relating to the
repayment and cancellation of any debt secured by hypothec, prior claim
or any other real right affecting the IMMOVABLE shall be borne by the
SELLER where payment of those costs will not be assumed by the BUYER.

The costs relating to repayment include any penalty exigible for early
repayment.

6.4 OWNERSHIP DOCUMENTS The SELLER shall supply the BUYER with a valid title
or ownership, free of any debt, prior claim, hypothec, real right, charge
or other restriction of private law, other than the usual and apparent
servitudes of public utility, any debts affecting the IMMOVABLE of which
the repayment, where applicable, is assumed by the BUYER under the term
of this PROMISE TO PURCHASE and under the following terms:_______________

The SELLER shall be warrantor towards the BUYER for any violation of the
restrictions of public law that affect the property and that are
exceptions to the ordinary law of ownership, except _____________________

The SELLER shall supply to the BUYER, within a period of days, an
authentic copy of his title of acquisition, an authentic copy of the
acts of property transfer and of the acts constituting a servitude
covering a period of ______ years, as well as a certificate of location
drawn up by a land surveyor and describing the current state of the
property; the cost of any new certificate of location shall be borne by
the BUYER where the previous certificate proves not to have been amended.
In the case of an IMMOVABLE covered by a declaration of co-ownership, the
SELLER shall also supply the BUYER with the declaration of co-ownership,
including the by-laws of the IMMOVABLE. In the case of an IMMOVABLE covered
by a declaration of co-ownership, a certificate of location describing the
divided part sold is sufficient.

6.5 DEFECT OR IRREGULARITY Should the parties be notified, before the signing
of the act of sale, of any defect or irregularity whatsoever affecting
the titles, or in the case of non-conformity with any guarantee of the
SELLER contained herein, the SELLER shall, within 21 days following
receipt of a written notice to that effect, notify the BUYER, in writing,
that he has remedied that defect or irregularity at his expense or that
he is unable to remedy it.

In the latter eventuality, the BUYER may, within a period of 5 days
following receipt of such a notice, notify the SELLER, in writing:

(a) that he is purchasing with the alleged defects or irregularities, in
which case the SELLER’S guarantee shall be reduced accordingly, or

(b) that he renders this PROMISE TO PURCHASE null and void, in which case
the fees, expenses and costs reasonably incurred until then by any of the
parties shall be borne only by the SELLER.

Where the BUYER has not availed himself of the provisions of paragraphs a
or b above within the period stipulated, this PROMISE TO PURCHASE shall
become null and void, in which case each party shall bear the fees,
expenses and costs incurred by him until then.

6.6 INTERVENTION OF SPOUSE If part of the IMMOVABLE constitutes the SELLER’S
family residence, or where rendered necessary by the SELLER’S matrimonial
regime, the SELLER undertakes to remit to the BUYER, as soon as this
PROMISE TO PURCHASE is accepted, either a document evidencing his
spouse’s consent and, where applicable, his spouse’s concurrence and an
undertaking by his spouse to intervene for the same purposes in the
notarial act of sale, or a copy of a judgment authorizing him to sell the
IMMOVABLE without his spouse’s consent. Failing that, the BUYER may, by
giving written notice to that effect, render this PROMISE TO
PURCHASE null and void.

7. DECLARATIONS AND OBLIGATIONS COMMON TO THE PARTIES


7.1 ACT OF SALE The parties undertake to sign an act of sale before _________
____________, notary, on or before ___________________ , 20 _____. The
BUYER shall be the owner upon the signing of the act of sale.

7.2 ADJUSTMENTS Upon the signing of the act of sale, all the adjustments in
respect of general and special real estate taxes, co-ownership expenses,
fuel reserves and income or expenses relating to the IMMOVABLE shall
be made as of _____________________________________________, 20 ______.
If the IMMOVABLE is held in divided co-ownership, there shall be no
adjustments in respect of any fund whatsoever of the co-ownership.

7.3 BROKER’S REMUNERATION The parties irrevocably instruct the acting notary
to withhold from the proceeds of the sale and to pay directly to ________
_________________, real estate broker, the compensation provided for in
the brokerage contract awarded by the SELLER.

7.4 INCLUSIONS Included in the sale are: (a) heating, electrical and lighting
installations of a permanent nature; (b) other inclusions: ______________

7.5 EXCLUSIONS Excluded from the sale are: (a) curtain rods and blinds;
(b) other exclusions: ___________________________________________________
(c) the following appliances covered by a leasing contract: _____________

8. OTHER DECLARATIONS AND CONDITIONS


8.1 _________________________________________________________________________
_________________________________________________________________________
_________________________________________________________________________
_________________________________________________________________________

9. ANNEXES
______________________________________________________________________________

9.1 The provisions of the Annexes designated below are an integral part of
this PROMISE TO PURCHASE:

Annex A: AA-□ □ □ □ □ Annex B: AB-□ □ □ □ □ Annex G – General: AG-□ □ □ □ □
Other: __________________________________________________________________

10. CONDITIONS OF ACCEPTANCE


10.1 The parties declare that their consent to this PROMISE TO PURCHASE is
not the result of any representation or condition not contained herein.

This PROMISE TO PURCHASE is irrevocable until _____________o’clock, on
____________, 20 _____. If this PROMISE TO PURCHASE is accepted by that
deadline, the BUYER shall be notified of the acceptance within a period
of __________ hours following that deadline. If this PROMISE TO PURCHASE
is not accepted by that deadline or if the BUYER is not notified of the
acceptance within the period stipulated, this PROMISE TO PURCHASE shall be
null and void and the deposit referred to above and considered to be an
instalment on the sale price shall be refunded to the BUYER immediately.
However, if this PROMISE TO PURCHASE is accepted and notification is
received within the period stipulated, this PROMISE TO PURCHASE shall
constitute a contract that is legally binding on the parties.

11. MISCELLANEOUS


11.1 Nothing stipulated in this PROMISE TO PURCHASE shall be interpreted as
restricting the real estate broker’s right to obtain, where applicable,
payment of any sums of money that may be due to him as compensation or
damages according to the ordinary rules of ordinary law, particularly,
but without limiting the generality of the foregoing, where a sale does
not take place because the SELLER or the BUYER voluntarily blocks the
sale or otherwise voluntary prevents its conclusion.

12. INTERPRETATION


12.1 Unless the context indicates otherwise, the masculine form includes the
feminine form and vice versa, and the singular includes the plural and
vice versa.

SIGNATURES


BUYER The BUYER acknowledges having read and understood this PROMISE
TO PURCHASE, including the Annexes, and having received a copy thereof.

Signed in ______________________ , on ______________ 20 _____, at ____o’clock.

________________________ ________________________ _________________________
Signature of BUYER 1 Signature of spouse Witness
of BUYER 1
________________________ ________________________ ________________________
Signature of BUYER 2 Signature of spouse Witness
of BUYER 2

SELLER’S REPLY The SELLER acknowledges having read and understood this
PROMISE TO PURCHASE, including the Annexes, and having received a copy hereof.

He hereby ___________________________________________ this PROMISE TO PURCHASE.
(enter by hand “accepts” or “refuses”)

□ submits Counter-Proposal CP- _________

Signed in ______________________ , on ______________ 20 _____, at ____o’clock.

________________________ ________________________
Signature of BUYER 1 Witness

________________________ ________________________
Signature of BUYER 2 Witness

ACKNOWLEDGMENT OF RECEIPT The BUYER acknowledges having received a copy of the
SELLER’S reply.

Signed in _____________________ , on ______________ 20 _____, at ____ o’clock.

________________________ ________________________
Signature of BUYER 1 Witness

________________________ ________________________
Signature of BUYER 2 Witness

INTERVENTION OF SELLER’S SPOUSE The undersigned declares that he is the spouse
of the SELLER, that he consents to and, where applicable, concurs in the
acceptance of this PROMISE TO PURCHASE, including the Annexes, and that he
undertakes to intervene in the notarial act of sale for all legal purposes.

Signed in _____________________ , on ______________ 20 _____, at ____ o’clock.

________________________ ________________________
Signature of SELLER 1 Witness

________________________ ________________________
Signature of SELLER 2 Witness
O.C. 1865-93, Sch. 1.