The quicker route to resolving real estate conflicts: Understanding summary judgments

Real estate disputes can be highly stressful as they involve significant financial investments. When deals fall through or contracts are breached, the impact can be both financial and emotional.

The lengthy court backlogs often mean waiting years for a trial, but summary judgment provides a quicker and more efficient way to resolve these disputes.

Summary judgment allows courts to settle disputes without a full trial, offering a swift and fair resolution. This approach is particularly suitable for real estate cases where clear documentary evidence, such as purchase agreements, financial records, and correspondence, plays a crucial role.

Recent Ontario Superior Court cases like Reid v. Abass and Kinariwala v. Ruiz demonstrate how summary judgment can deliver efficient outcomes in real estate disputes.

Reid v. Abass

In Reid v. Abass, sellers sought damages when a buyer failed to close on a $999,000.00 home purchase. The buyer requested a price reduction and closing extension based on a lower appraisal value, but the sellers refused and relisted the property for $850,000.00, leading to a dispute over an extension agreement’s interpretation.

The court ruled that the agreement released the buyer from liability for the original price, emphasizing the importance of clear contract language in avoiding disputes.

Kinariwala v. Ruiz

In Kinariwala v. Ruiz, a seller sought damages after a buyer failed to close on a $465,000.00 purchase. The seller’s delay in relisting the property for sale was deemed reasonable by the court, especially as they had professional advice and mitigated losses through short-term rentals.

The court awarded damages to the seller through summary judgment, emphasizing the need for reasonable mitigation efforts and professional guidance in real estate disputes.

Effectiveness of Summary Judgment

These cases show how summary judgment can effectively resolve real estate disputes but also highlight the importance of clear contracts and reasonable actions. Buyers should be prepared to meet their obligations, while sellers must act promptly to minimize losses and seek professional advice for guidance. While summary judgment offers a quicker path to justice, it relies on detailed evidence to support your case.