Author: Nick Tenev

In the high-stakes world of commercial real estate transactions, the phrase “time is of the essence” is more than boilerplate language—it’s a contractual cornerstone that can make or break a deal. The recent Ontario Superior Court decision in Goncalves v. 958041 Ontario Limited, 2025 ONSC 1813, offers transactional real estate lawyers a stark reminder of how strictly courts will enforce these provisions, even when parties continue to communicate after a deadline passes. The Facts This dispute arose from an Agreement of Purchase and Sale (APS) dated February 28, 2023, for an industrial property in Stoney Creek, Ontario, with a purchase…

Real estate transactional lawyers often assist clients with mortgage financing, but what happens when those transactions go sideways? A recent Ontario Superior Court decision offers important lessons about mortgage enforceability, the limits of creative defenses, and the high bar for obtaining injunctive relief against power of sale proceedings. The Players and the Problem In Condoman Developments v. Cannect International Mortgage, Justice Morgan confronted a situation where an experienced real estate developer, Howard Youhanan, owed over $46 million to lender Marcus Tzaferis and his companies, Cannect International Mortgage Corporation and Cannect Mortgage Investment Corporation. The loans had been in default since…

Esther Gerstel Inc. v. Scott, 2025 ONSC 1448 In a decision that should interest real estate lawyers drafting or reviewing private mortgage documents, Justice Vermette of the Ontario Superior Court recently clarified important limits on a lender’s ability to unilaterally impose mortgage renewal fees—even when the mortgage appears to grant “absolute discretion” to do so. Background In August 2021, Esther Gerstel Inc. (“EGI”) advanced a loan of $815,000 to Denise Michelle Scott, secured by a mortgage on her Toronto residence. The mortgage had an interest rate of 22% per annum, with a one-year term maturing on August 12, 2022. The…

Correa v. Valstar Homes (Oakville Sixth Line) Inc., 2025 ONCA 156 The Ontario Court of Appeal’s recent decision in Correa v. Valstar Homes serves as a stark reminder to transactional real estate lawyers about the unforgiving nature of “time is of the essence” clauses. This case demonstrates how a mere eight-minute delay in closing can cost purchasers over $100,000 and highlights critical considerations for drafting and advising on purchase agreements. The Facts: A Costly Eight Minutes The Correas entered into an Agreement of Purchase and Sale (APS) with Valstar Homes in February 2020 to purchase a newly built home in…

June 2025 The Ontario Court of Appeal’s recent decision in Yui v. Yan, 2025 ONCA 410, provides important guidance for transactional real estate lawyers on the proper exercise of lawyer approval conditions in assignment agreements. This unanimous decision reinforces the protection of solicitor-client privilege while clarifying the requirements for valid termination under these conditions. Case Background The dispute arose from an assignment agreement dated August 29, 2023, where sisters Christine and Michelle Yui agreed to take over the purchase of a property from the assignor Sa Yan. The agreement required a $60,000 deposit and included a lawyer approval condition that…

Jackson v. Rosenberg, 2025 ONCA 48, offers important guidance for real estate lawyers on joint tenancy severance and resulting trusts. This decision of the Ontario Court of Appeal clarifies fundamental principles that every transactional lawyer should understand when dealing with co-ownership structures. The Facts The case involved a property in Port Hope, Ontario, with a complex factual background that illustrates the risks of using joint tenancy for estate planning purposes. Nigel Jackson and Bernie Taube were long-time romantic partners (since 1963) who ran an antiques business together. When Taube died in 2010, Jackson became the sole owner of a Yorkville…

Torres v. Parsons et al., 2025 ONSC 4593 Real estate transactional lawyers should take note of this Ontario Superior Court decision.   It underscores the critical importance of documenting property ownership arrangements in writing, particularly in family or relationship contexts where tenants in common claim that their ownership share is greater than what was recorded on title. Background Peter Torres purchased a property in Brampton in 2018 for $822,000, putting down $450,000 (approximately 55% of the purchase price). While Torres held 99% of the title, his fiancée’s parents, Shawn and Charmaine Parsons, held the remaining 1%. The Parsons were added…

The Ontario Superior Court’s recent decision in De Miranda et al. v. James Vincent King (2025 ONSC 4624) serves as an important reminder to real estate practitioners about the evidentiary requirements needed to resolve beneficial ownership disputes on summary judgment. This case involved a family dispute over a Hamilton property and illustrates why insufficient documentation and hearsay evidence can derail even seemingly straightforward claims. The Background In 2007, Anne Margaret King and her daughter-in-law Cristina Maria De Miranda purchased a property in Hamilton for $335,000, taking title as joint tenants. Anne contributed $110,000 toward the purchase price, while Cristina’s portion…

Admore Capital Group Gp Inc. v. Hajduk, 2025 ONSC 4533 Real estate transactions involving family members and collateral security arrangements require careful scrutiny, even when independent legal advice has been provided. The recent Ontario Superior Court decision in Admore Capital Group Gp Inc. v. Hajduk offers important lessons for transactional lawyers about the limits of relying solely on certificates of independent legal advice when unconscionability or undue influence may be at play. The Facts Jack Hajduk and his wife lived in a Toronto property on which Admore Capital held a second mortgage, which was registered in June 2021 and quickly…

As a real estate transactional lawyer, you may not regularly deal with the enforcement of restrictive covenants but understanding how courts approach these disputes is crucial when advising clients on property purchases and community association governance. The recent Ontario Superior Court decision in Castle Hill Neighbourhood Association v. Morse, 2025 ONSC 4522, provides important guidance on the validity and enforceability of restrictive covenants within building schemes. The Facts Jerome Morse owned a luxury townhouse in the Castle Hill community near Casa Loma in Toronto—a development of 93 white row townhouses designed to maintain a uniform Edwardian-style appearance. After a fire…