March 2026 - Legal Update - The Role of Signing In Real Estate Transactions: Lessons From Greco V. Jarboh

In Ontario real estate law, the act of signing an Agreement of Purchase and Sale (APS) is a pivotal step that transforms negotiations into binding obligations. Yet the Ontario Superior Court’s decision in Greco v. Jarboh, 2025 ONSC 6391, demonstrates that liability can arise even when a party disputes that it signed documents. In Greco, the purchaser argued she never signed the APS for a Hamilton property valued at $965,000. The plaintiff claimed first that she never authorized her agent to sign the APS on her behalf, and second that she never instructed the waiver of the financing condition. However, the Court made several findings that were important to liability in this case. The Court referred to conduct that ratified the Purchaser’s intention to move forward with the contract, including the delivery of the $50,000 deposit, and evidence that the purchaser was working with its mortgage broker and retained a lawyer for the transaction after the date the financing condition was waived. The defendant’s actions demonstrated knowledge of and assent to the agreement, binding her to its terms. When she failed to close, the court granted summary judgment for the vendor, ordering more than $218,000 in damages and legal costs. This case underscores two critical aspects of signing. Conduct consistent with acceptance can amount to ratification even where a signature is disputed. This is important because digital signatures can be produced very quickly, and if a purchaser instructs their agent to ‘sign for them’, this will not be a legitimate excuse not to close a deal. Second, lawyers have a duty to act promptly once all conditions are waived to ensure their client understands they are bound by all contract terms. In an era of digital closings and e-signatures, Greco reminds us that sellers will be protected when relying on the terms of an agreement and that a purchaser’s carelessness can carry six-figure consequences. Michael Craig Liddiard, BA MA JD (905) 932-5437 [email protected] Liddiard Law Professional Corporation