Humber/Ontario Real Estate Course 2 Exam Practice

What is missing in the following clause: "The buyer agrees to pay a further sum of Two Hundred and Fifty Thousand Dollars to the Seller on completion of this transaction, with funds drawn on a lawyer's trust account in the form of a bank draft, certified cheque, or wire transfer using the Large Value Transfer System"

1. The phrase ‘subject to adjustments’.

2. The amount given in numbers (i.e., $250,000) and ‘subject to adjustments’.

3. Only the implementation date.

4. The method of payment.

5. The brokerage commission details.

6. The anticipated tax amounts.

The correct answer is: Only the implementation date.

In the given clause, "The buyer agrees to pay a further sum of Two Hundred and Fifty Thousand Dollars to the Seller on completion of this transaction, with funds drawn on a lawyer's trust account in the form of a bank draft, certified cheque, or wire transfer using the Large Value Transfer System", the missing element is only the implementation date, which is essential in real estate transactions to specify when the agreement is intended to come into effect. Option A, B, D, E, and F are incorrect: - Option A suggests the phrase 'subject to adjustments' as missing, but this clause could be relevant in certain agreements to account for any necessary financial adjustments. - Option B mentions adding the amount in numbers and 'subject to adjustments', which may not be necessary depending on the drafting conventions used in legal contracts. - Option D focuses on the method of payment, which is clearly mentioned in the clause provided. - Option E mentions brokerage commission details, which are not relevant to this specific clause. - Option F brings up anticipated tax amounts, which are also not part of this particular clause.