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In This Volume

  • 111 (1) In this section, “contract” includes a transfer.
  • (2) If a person sells or transfers or agrees to sell or transfer a parcel purporting to be described according to a plan of subdivision before the plan has been deposited under this Act, a purchaser or transferee, or a person claiming under either, who has purchased or accepted delivery of a transfer without knowledge of the nondeposit of the plan, or of the necessity for its deposit, may at the purchaser’s, transferee’s or claiming person’s option, on acquiring knowledge of it, rescind the contract of purchase and recover
  • (a) all money paid under it, with lawful interest, and
  • (b) all taxes paid and other expenses incurred in consequence of the purchase, with lawful interest.
  • (3) If the contract is rescinded, the purchaser, transferee or other person has a lien for all sums referred to in subsection (2) on the land of the vendor included in the plan of subdivision.
  • (4) Despite subsections (2) and (3), if the purchaser does not exercise the right to rescind, the vendor remains bound.
  • (5) Liens created under this section rank equally.

1979-219-111; 2023-10-457.


Election to Rescind

In the event that the purchaser elects to rescind the contract, the purchaser applies to court for a declaration of lien. If and when a court makes a declaration, the purchaser may recover its purchase money plus interest. Until a court makes a declaration, the purchaser may file a caveat or certificate of pending litigation.


See Di Castri, Registration of Title to Land, vol. 1, para. 140.