Hidden defects in a purchased building : what can you do ?
Hidden defects in a property can pose a significant problem for the buyer. In Quebec, the recourse of the buyer in such a situation depends on the nature and extent of the defect, as well as the terms of the deed of sale of the building. This article will discuss hidden defects in property, the responsibilities of the seller, and the options available to the buyer under Quebec law.
What are Hidden Defects in Property?
A hidden defect refers to a problem with a property that is not visible or easily noticeable and that affects the value of the property or makes it dangerous or unhealthy to live in. Hidden defects can include issues with the building's structure, plumbing, electrical systems, or other essential components. These defects are often only discovered after the property has been purchased, leading to costly repairs or renovations for the buyer.
Responsibilities of the Seller
Under the Civil code of Quebec, the seller of a property has a legal obligation to disclose any known defects or problems with the property to the buyer. The seller must also provide a warranty for hidden defects, regardless of whether or not the buyer asks for it. This warranty applies for a certain period of time from the date of delivery of the property, during which time the buyer can take legal action against the seller if the defects are discovered.
Options Available to the Buyer
If the seller is aware of hidden defects in the property and fails to disclose them, the buyer may have several options available to them. Some of the most common recourse for buyers in such situations include:
Rescission of the Deed of sale : The buyer can choose to rescind the sale agreement and have their deposit returned if the hidden defect affects the value of the property or makes it dangerous or unhealthy to live in.
Damages: The buyer can also choose to sue the seller for damages if the hidden defect was not disclosed. In such cases, the buyer may be entitled to compensation for the cost of repairs or the decrease in the value of the property.
Request for Repairs: In some cases, the buyer may choose to request that the seller make the necessary repairs to the property. If the seller refuses, the buyer may have the right to have the repairs made and deduct the cost from the purchase price.
It is important to note that in order to exercise these options, the buyer must provide written notice to the seller within a reasonable time of discovering the hidden defect, as provided by article 1739 of the Civil code of Quebec. This notice must specify the nature of the defect and the remedies sought by the buyer. In all cases, the buyer benefits from a presumption to establish the existence of the defect when he has dealt with a professional seller (developer, builder)
Conclusion
In conclusion, buyers should exercise caution when purchasing a property and carefully inspect the property before making a purchase. They should also consider obtaining a professional inspection to identify any potential hidden defects. If a hidden defect is discovered, it is important to understand the options available and to take the necessary steps to protect their rights and interests.
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