Buyer and seller · Legal
Three words in a listing, thousands of dollars in the balance. Here is what the clause transfers, what it never transfers, and the method for buying a property sold this way.
In Quebec, every real estate sale comes by default with the legal warranty of the Civil Code: the warranty of ownership (clear title) and the warranty of quality, which grounds recourse for latent defects. Selling without legal warranty sets that protection aside, and the full formula, without legal warranty, at the buyer's own risk, sets it aside to the maximum recognized by the courts: the buyer then waives recourse for defects, even serious ones, discovered after the sale. Two limits always remain: the seller stays bound by their declarations, and fraud, that is deliberately hiding a known problem, is never protected by the clause. The formula is common in estates, foreclosures and among sellers who barely lived in the property. It is negotiated: on the price, on the conditions, and through a serious inspection.
The Civil Code's legal warranty has two parts. The warranty of ownership: the seller guarantees clear title, without encroachment or hidden charge, which the certificate of location and the notary verify. The warranty of quality: the property must be free of latent defects that would make it unfit for use or reduce its value so much that the buyer would not have paid that price. It is this warranty of quality that grounds latent defect claims: it applies automatically, without being written, in every sale that does not exclude it.
Selling "without legal warranty" sets the protection aside. But Quebec case law has clarified the instructions: it is the full formula, "without legal warranty, at the buyer's own risk", that excludes recourse most tightly. An ambiguous or partial clause leaves room for interpretation, and courts rule on the exact wording and the context of the sale. Concretely: buyer, read the clause word for word in the offer and the deed; seller, have it drafted correctly. Approximations on either side end up in court.
Fraud: deliberately hiding a known problem, disguising damage, lying in answers to questions. No clause protects bad faith. The seller's declarations: what is declared in writing binds, even in a sale without warranty; a false declaration opens recourse. Public order obligations: consumer protections against certain professional sellers cannot be signed away. In other words, the clause transfers the risk of the unknown, not the risk of the lie. Many sellers and buyers discover that nuance too late.
The winning trio: a reinforced pre-purchase inspection, with targeted expertise if needed depending on the age and sector of the property; a price that reflects the transferred risk, the size of the adjustment being negotiated case by case, since there is no magic percentage; and written questions to the seller, because their answers bind them even without warranty. Context matters: an estate whose heirs never lived in the house does not have the same risk profile as an occupying seller who refuses the warranty for no apparent reason, a signal to dig into. For foreclosures, see our guide on foreclosures in Quebec.
The clause is legitimate and common when you cannot vouch for the history: an estate, a long rental, a property held without living in it. It is paid for in the negotiation, though: the pool of buyers narrows and offers price in the risk. Adding it "out of caution" on a property you know perfectly sends a signal of distrust that often costs more than the hoped-for protection. Good practice: a decision made at the valuation stage, a price calibrated accordingly, honest and complete declarations.
The seller sets aside the Civil Code's warranty of quality, which grounds latent defect claims. With the full formula "without legal warranty, at the buyer's own risk", the buyer waives recourse for defects discovered after the sale, even serious ones. Two things remain protected: the seller's written declarations, which bind them, and fraud, since deliberately hiding a known problem is covered by no clause.
Not necessarily: it is a risk that is managed and priced. The clause is normal in estates and foreclosures, where the seller does not know the history. The method: a reinforced inspection with expertise if needed, written questions to the seller, and a negotiated price reflecting the transferred risk. It becomes a warning sign when an occupying seller adds it for no apparent reason.
No. The clause protects against claims for unknown defects, never against fraud: hiding known water damage, disguising a crack or lying in a written declaration exposes the seller to recourse despite the clause.
Also available in French: version française de ce guide.
Published September 1, 2026 by the Loaa & Manseur team, the number 1 team at RE/MAX Platine in 2024 and 2025, 6th RE/MAX team in Quebec, 15th in Canada and in the global top 50 according to the official RE/MAX ranking. Tell us about your project.
Équipe no 1 de RE/MAX Platine en 2024 et en 2025, 6e au Québec, 15e au Canada et dans le top 50 mondial au classement officiel RE/MAX. Réponse en moins de 24 heures, sept jours sur sept.