Following a failed residential real estate transaction in which the purchasers did not pay the required deposit, the defendants pursued a third party claim against their real estate agent and brokerage for indemnity.
The central allegation was that the agent had advised the purchasers that the agreement was effectively conditional on delivery of the deposit and that non-payment would permit them to walk away without liability.
The court rejected that factual theory, finding the signed agreement and surrounding communications supported the conclusion that the purchasers had been committing to a firm deal and were later attempting to avoid completion after family advice.
The court accepted the general statement of the real estate agent’s duty of care but held no breach was established on the evidence.
The third party claim was dismissed.
