A purchaser who failed to close on a property due to alleged environmental misrepresentations is liable for the vendor's resale shortfall and carrying costs.
The court considered a claim by Country Wide Homes Upper Thornhill Estates Inc. against Xiaowan Liu for breach of an agreement of purchase and sale (APS) for a luxury home.
Liu failed to close the transaction, alleging language barriers and misrepresentation regarding environmental issues and a Certificate of Property Use (CPU).
The court found that Liu was an experienced purchaser, had the assistance of a real estate agent, and received all required disclosures, including the CPU.
The court held that the plaintiff met its disclosure obligations under the Environmental Protection Act and that Liu was liable for the shortfall on resale and carrying costs, totaling $741,999.
The counterclaim was dismissed.
SCJSuperior Court of JusticeMay 28, 2025