No Parking
An attorney with a prior reprimand has been reprimanded and fined by the Saskatchewan Law Society Hearing Committee for conduct in acting on behalf of the sellers in a real estate transaction for the sale of a condominium unit
The Member accepted a trust condition on October 29, 2021 that within the 180-day period set out in the trust condition, which expired in April of 2022, he was to provide “a registerable transfer of title for parking stall no. 85” or pay $10,000.00 to the purchasers. The Member did not provide “a registerable transfer of title for parking stall no. 85” nor did the Member pay out, in a timely fashion, the $10,000.00 holdback. The Member only paid the holdback after the complaint was filed against him in this matter.
Whether there is any practical difference between a ‘designated parking stall’ and a ‘titled parking stall’ is not relevant. The Member accepted a trust condition that required him to provide a titled parking stall or pay $10,000.00 to the purchasers. His failure or inability to strictly adhere to that condition, entitled the purchasers to demand the payment of the $10,000.00 holdback. The Member did not pay out the holdback in a timely fashion and only after the complaint was filed by the Complainant to the Law Society of Saskatchewan. It is well established in the practice of law, in particular real estate practice, that the ability of lawyers to be able to depend upon and rely on another lawyer complying with the trust condition (or undertaking) is of paramount importance. The ability to place an absolute reliance on a lawyer who has accepted a trust condition that the same will be complied with is of paramount importance. Once a trust condition is accepted, whether it is fair or reasonable is not relevant to the issue of compliance. In addition, the Member did not pay the $10,000.00 out of the trust account to the Complainant until December 21, 2023, well after the complaint was made to the Law Society.
Sanction
the Member is to receive a reprimand from the Law Society of Saskatchewan, is to pay a fine of $1,000.00 and pay the costs of $1,000.00. Such amounts are to be paid within sixty (60) days.
(Mike Frisch)