This appeal concerned a failed agreement of purchase and sale (APS) for a residential development, where the appellant (buyer) had an express obligation to obtain severance approval but failed to communicate or take steps for almost five years.
The respondent (seller) subsequently refused access to the property, deeming the APS terminated.
The appellant sought declarations that the APS was valid and for specific performance.
The application judge dismissed the appellant's application, finding the appellant in breach due to inordinate delay and the respondent justified in treating the APS as ended.
The Court of Appeal upheld this decision, affirming that where an APS has no fixed deadline, performance must occur within a reasonable time, and that inordinate, unexplained delay can constitute a fundamental breach justifying termination without a prior notice of a new deadline, depending on the circumstances.