Residential Tenancies Act, 2006, Ontario

I have an appointment with the lawyer
tomorrow to sign the Agreement
of Purchase and Sale (Offer),
provided by EWCP's Buckingham agent.
The Offer has not been signed
by the Buyer but indicates the
Buyer's Offer is irrevocable by
June 16th, 2008.
So when's an offer from the Buyer
not an offer? When the offer is not
signed by the Buyer.
The agreement provides a clause
giving me, the Seller, the right
to occupy the property rent free
for a period of 90 days. I would
be responsible for maintaining the
property, utilities and insurance.

Insurance is the problem. Initially
the clause required that I maintain
Tenant Insurance policy for the
property. I contacted the agent
and he said I could replace the word
'property' with the word 'content'.
That lead me to take issue with
a landlord dictating to a prospective
tenant that they have to take out
tenant insurance. Why would that be
the landlord's business. The agent told
me that removing the bit on the insurance
could be a deal breaker.

Well guess what? I'm removing the
part of clause 11, that requires
Tenant Insurance. The offer hasn't
been signed by the Buyer anyway.
Can't break a deal when there isn't
one to begin with or an offer for
that matter.

So why remove it? Because
under the Residential Tenancies
Act, I would not be consider a tenant
because clause 11, "Right to Occupy,
indicates that I can occupy the
property rent free. To be consider
a tenant under the RTA, you have to
pay rent.

This leads to the next
issue, Tenant Insurance. Do you
think that an insurance company
would pay out a claim on a tenant
insurance policy, if it discovered
that I was not a tenant as per the law.
Well, I'll give you the answer the
insurance company gave me. "No."

Check out the the definition of "tenant"
under the heading, Interpretation, s. 2.1 of
the Residential Tenancies Act,2006.

http://www.e-laws.gov.on.ca/html/statutes/
english/elaws_statutes_06r17_e.htm#BK3

Also check out Buyer's Offer (wink, wink)

http://picasaweb.google.com/scwmark/EastWindsor
CogenerationPropertiesInc
AgreementOfPurchaseAndSaleJune052008


Edit in

On further thought, I'm simply
just going to cross out clause 11
of Schedule 'A'. I'd have no
protection. The closing date
will have to change from 30 days
to maybe 60 days or longer.