Humber/Ontario Real Estate Course 3 Exam Practice

When a seller provides a property survey to be included in the agreement of purchase and sale, how should it be designated?

1. Would be designated as Schedule 1, as it is the first added schedule to the agreement.

2. Need not have the buyer's and seller's initials, as they are not required for schedules attached to the agreement.

3. Would be designated as Schedule B, assuming that it is the only additional schedule added to the agreement.

4. Cannot be attached, as it does not meet prescribed standards for a schedule.

5. Must be designated as Addendum A, to distinguish it from other documents.

6. Should be included but designated as an annex instead of a schedule.

The correct answer is: Would be designated as Schedule B, assuming that it is the only additional schedule added to the agreement.

The designation of a property survey as Schedule B is correct because, in real estate agreements, schedules typically serve as supplementary documents that provide additional information or conditions relating to the primary agreement. When a seller includes a property survey in the agreement of purchase and sale, it is common practice to designate it as Schedule B, assuming it is the only additional schedule present. This allows for clear organization and reference within the document, making it easier for all parties to identify it and comprehend its relevance to the transaction. The designation helps ensure clarity in documentation. It's important for participants in the transaction to understand which documents are part of the agreement, and Schedule B is a standard way to label such additional information. In cases where more than one schedule is present, the subsequent schedules would be labeled accordingly (for example, Schedule C, Schedule D, etc.), maintaining a systematic approach. Addressing the context of the other options, if the survey were designated as Schedule 1, this would imply it is the first schedule rather than a follow-up document. Moreover, initials on schedules can vary based on the organizational practices or legal frameworks in place; hence, the assertion that initials are not required is not universally applicable. The notion that it cannot be attached because it does not meet prescribed