Between the moment a purchase becomes firm and the day it closes, one of the most important things your lawyer does is investigate title — the legal ownership of the property — and raise "requisitions." This process is how problems with ownership get discovered and fixed before you take title, rather than after, when they become your problem.
What a title search does
A title search examines the public records for the property to confirm that the seller actually owns it and can transfer clean ownership to you. It looks for anything registered against the title that could interfere with your ownership or your lender's security. In Ontario's electronic land registration system, much of this can be searched online, but interpreting what turns up is a legal task.
Common problems a search uncovers
- Undischarged mortgages or other financial charges that must be paid off and removed on closing.
- Liens — for example, construction liens or tax arrears registered against the property.
- Easements and rights-of-way that give others a right to use part of the land, such as for utilities.
- Encroachments — a fence, structure, or addition that crosses a boundary.
- Unpaid property taxes or utility arrears.
- Open work orders or deficiencies registered by a municipality.
Requisitions: the formal request to fix defects
When the search reveals a problem, your lawyer raises a requisition — a formal, written demand that the seller resolve the issue before closing. Most agreements set a "requisition date" by which these must be delivered, and the seller then has an obligation to answer valid requisitions and clear proper objections to title. If a serious defect cannot be resolved, the agreement may give the buyer the right not to close.
Where title insurance fits
Some risks can be managed with title insurance rather than eliminated before closing. For certain issues — like a minor survey concern or the risk of undiscovered defects — a title insurer may agree to cover the risk, allowing the deal to close smoothly. This is a complement to the requisition process, not a replacement for a proper search.
Why the timing matters
The requisition date exists to give both sides time to sort out title issues well before closing. Missing it can limit the buyer's ability to object to certain defects, which is another reason the whole process needs to run on schedule.
Takeaway: The title search and requisition process is how ownership problems are surfaced and resolved before you become the owner — and doing it on time is part of what protects you.
This article is general information for educational purposes only and is not legal advice. For advice on your situation, book a consultation.