1. Purpose

This policy outlines the conditions under which deposits or payments made toward the purchase of a new home from Labeeb Homes may be refunded or retained, consistent with Ontario new home construction and consumer protection laws.

 

2. General Policy

All sales of new homes are governed by a formal Agreement of Purchase and Sale (APS).
That agreement is the binding legal document controlling payment schedules, deposits, cancellations, and refund eligibility. This Refund Policy summarizes our general practices and is subject to the APS and applicable legislation.

 

3. Deposit Handling

• All deposits are held in trust, as required by Ontario’s New Home Construction Licensing Act and administered through a designated trust account.

• Deposits remain secure and cannot be withdrawn except in accordance with the terms of the APS or applicable law.

• Tarion’s deposit protection applies as mandated under the Ontario New Home Warranties Plan Act.

 

4. Buyer‑Initiated Cancellations

If you choose to cancel a purchase:

• Before signing the APS: A full deposit refund applies if no agreement has been finalized or no binding commitment made.

• After signing the APS: Cancellation requests are governed by the terms outlined in that agreement. Refunds depend on the specific cancellation or termination provisions, including any applicable fees or costs incurred.

• Within a cooling‑off period (if applicable): If the transaction qualifies for a statutory rescission period (such as under a condominium purchase), you may cancel within that timeframe and receive a full refund of deposits paid.

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5. Builder Cancellations

Labeeb Homes may cancel an agreement only in cases allowed by law or the APS (for example, inability to obtain permits, site plan approval, or other uncontrollable circumstances).
If such a cancellation occurs, all deposits will be refunded in full, without interest, and neither party will have further obligations beyond those prescribed by law.

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6. Refund Process

Where a refund is approved:

• It will be processed to the original payer, through the original payment method where possible.

• Refunds are typically completed within 15–30 business days after confirmation of eligibility.

• Proof of identity and payment may be required.

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7. Non‑Refundable Situations

Deposits or payments may not be refunded when:

• Construction or materials have been ordered or committed pursuant to an executed APS

• The withdrawal breaches contractual obligations

• The buyer fails to meet conditions, financing obligations, or other terms within the APS

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8. Dispute Resolution

Any refund disputes shall follow the dispute resolution provisions in the Agreement of Purchase and Sale and Ontario law. Buyers also retain rights under Tarion and HCRA dispute or complaint processes.