The plaintiffs, vendors of a residential property, brought a motion for summary judgment against the defendant purchaser for breach of an Agreement of Purchase and Sale.
The purchaser failed to close, citing frustration due to a decline in real estate values and inability to secure financing, despite having removed a financing condition from the agreement.
The court rejected the frustration argument, finding the events were foreseeable and did not radically alter the contract.
Summary judgment was granted in favour of the plaintiffs, awarding damages for loss of property value, financing costs, carrying costs, and legal fees thrown away, with the purchaser's deposit credited against the total damages.