LAW 2003 – Commercial Law

Mr. and Mrs. Pinkman, are the fee owners of a three story home located at 9809 Margo Avenue,SmallTown, Ontario. The Pinkmans love this home dearly, but they are hoping to retire in the comingyear and the proceeds from this sale can help them create a comfortable nest egg to ease the transitioninto retirement. Over the last year, the Pinkmans have spent most of their life savings on extensiverenovations to the home, in the hopes of gaining a higher purchase price. They believe the purchaseprice they set is reasonable, fair and in line with the current market.After the home was on the market for threeweeks, the Pinkmans’ lawyer, Mr. Gardner, received aphone call from another lawyer, Mr. Goodman, stating that his client is interested in purchasing theproperty as soon as possible. Mr. Gardner informs Mr. Goodman that the house is listed at a purchaseprice of $875,000.00. Rather than go back and forth over the phone, Mr. Goodman requests to meet inperson to see if they can come to some mutual agreement and negotiate a final deal.