Is a seller legally required to provide a status certificate in Ontario?
The Condominium Act, 1998 gives buyers the right to make their agreement conditional on the review of a status certificate — and in practice this is standard. However, the Act does not automatically require a seller to provide a status certificate unprompted. It is the buyer's responsibility (through their agreement conditions) to make the purchase conditional on obtaining and reviewing the certificate.
The typical Ontario condo agreement of purchase and sale includes a condition allowing the buyer a specified number of days to obtain and review the status certificate. During that period, either party may request the certificate from the corporation. Often the buyer orders it directly or through their lawyer.
Some sellers proactively obtain a status certificate before listing the property to speed up conditional periods. However, certificates have a limited useful life — information in the certificate may be several months old by the time a buyer reviews it. A prudent buyer should ensure the certificate is reasonably current before relying on it.
Key takeaways
- Sellers are not automatically required to provide a status certificate.
- Buyers protect themselves by including a status certificate review condition in the offer.
- The buyer or their lawyer typically requests the certificate directly from the corporation.
- Ensure the certificate is recent — old certificates may not reflect current financial conditions.