Sample notice of repossession and possible options
The following proposed clause could be used in a dwelling repossession situation:
“The SELLER agrees, at his own expense, to obtain cancellation of the lease concerning the dwelling located at: _______________________________________ , and the lessee’s agreement to vacate this dwelling on or before ________________ (YYYYMMDD). The SELLER shall provide to the BUYER, within ____ days following acceptance of this promise to purchase, copies of the documents evidencing such cancellation, as well as the lessee’s agreement to vacate the premises.
Should the SELLER fail to obtain the above, the BUYER shall have the right to cancel this promise to purchase by notifying the SELLER in writing within four (4) days following the expiration of the above deadline. This promise to purchase shall become null and void from the time of receipt of such notice by the SELLER.
Should the BUYER fail to give notice to the SELLER within the time period and in the manner specified above, he shall be deemed to have waived this condition.
Notwithstanding the above, it is understood that the SELLER cannot guarantee that the lessee will vacate the premises on the agreed date and cannot be held responsible in any way for the lessee’s failure to honour his agreement.”
CAUTION! In spite of all these precautions, you must inform the buyer that even if a lessee commits to leave his dwelling, he could contest the validity of the agreement made with the seller and ultimately refuse to leave the dwelling.
Consequently, if the buyer still wishes to repossess the unit, he will have to apply to the Tribunal administratif du logement to have the validity of the agreement confirmed and to obtain the eviction of the lessee. Of course, the success of this process is not guaranteed.
In order to set the appropriate dates for the signing of the deed of sale, it is essential to check the availability of the acting notary as well as the opening hours of the Land Register services during the holiday period.
► DUTIES AND OBLIGATIONS OF THE BROKER
Remember! Any promise to purchase concerning an income property should be conditional upon a review of the leases. You have a duty to verify and advise. In the case of a verbal lease, consult the form Mandatory writing in the case of an oral lease that the lessor must give to the lessee. This document is available on the Québec government website at https://www.publicationsduquebec.gouv.qc.ca/boutique/en/Catalogue/Law/52014/p/52014.
Lessee contests the notice of repossession
In cases where the lessor must file an application for repossession of a dwelling with the Tribunal administratif du logement, the Tribunal may also impose conditions deemed fair and reasonable if it authorizes the repossession (e.g., compensation for the lessee’s moving expenses, postponement of repossession to a date later than that requested, etc.).
Buyer wishes to re-lease a repossessed dwelling
In the event that the buyer no longer wishes to occupy the repossessed dwelling, wants to re-lease it or use it for another purpose, he will have to obtain the prior authorization of the Tribunal administratif du logement, regardless of the number of months or years that have elapsed since the repossession has taken place.
