What to Expect During a Review by the Buyer’s Lawyer

When a real estate agreement includes a “review by buyer’s lawyer” condition, it signals an important step in the transaction process. This period gives the buyer’s legal representative time to thoroughly examine the Agreement of Purchase and Sale (APS) and ensure all terms are fair, clear, and in the buyer’s best interest. Here’s what typically happens during this review, why it matters, and how it can impact the path to a firm sale.

What the Buyer’s Lawyer Does

• Examines the Agreement: The lawyer reviews the APS to confirm that all parties are correctly identified, the property description is accurate, and the terms—including price, deposit, inclusions, exclusions, and closing dates—are as intended.
• Checks for Conditions and Deadlines: The lawyer ensures all conditions (such as financing, inspection, or document review) are clearly stated and that the timelines are reasonable and achievable.
• Assesses Legal Risks: The lawyer looks for clauses that might expose the buyer to unnecessary risk, such as ambiguous language, unclear obligations, or missing disclosures.
• Reviews Title and Off-Title Searches: If time allows, the lawyer may begin preliminary title searches to check for liens, easements, or other issues that could affect ownership.
• Advises the Buyer: The lawyer explains the agreement’s terms, highlights any concerns, and suggests amendments if needed. If there are issues, the lawyer will recommend negotiating changes with the seller before the condition deadline.

The Review Period and Deadlines

• Typical Timeframe: The review period is usually a few business days, as specified in the agreement. During this time, the buyer can consult with their lawyer and decide whether to proceed, request changes, or withdraw from the deal.
• Notice of Fulfillment or Waiver: If the lawyer is satisfied, the buyer signs a notice of fulfillment or waiver, making the agreement firm on this point. If not, the buyer may request amendments or, in some cases, terminate the deal without penalty if concerns can’t be resolved within the deadline.

Why This Step Matters

• Protects the Buyer: A legal review helps catch errors, omissions, or unfavourable terms before the contract becomes binding.
• Clarifies Obligations: It ensures both parties understand their rights, responsibilities, and the next steps, reducing the risk of disputes later on.
• Smooths the Closing Process: Early identification and resolution of issues make for a smoother path to closing and transfer of ownership.

What Sellers Should Know

• It’s Routine: This review is standard practice and doesn’t mean there’s a problem.
• Be Responsive: If the buyer’s lawyer requests clarifications or amendments, responding promptly helps keep the deal on track.
• No Deal Until Firm: The transaction isn’t firm until the lawyer’s review is complete and the condition is waived or fulfilled in writing.

Final Thoughts

A review by the buyer’s lawyer is a key safeguard in real estate transactions. It ensures the agreement is fair, clear, and legally sound before everyone moves forward. By understanding this process and cooperating with all parties, both buyers and sellers can help ensure a successful and stress-free closing.