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Title
A previous owner (including possibly the vendor) of a property may have registered restrictive covenants or easements on title to a property. One example of such a restrictive covenant might be one which prohibits the production or manufacture of cannabis or cannabis products on the property. An example of an easement may be one which would prohibit a purchaser from expanding the building on the property or in the case of vacant land or knocking down the previous building to build a new building, may greatly restrict what one is able to build.
A purchaser’s solicitor should always search title to the property to determine whether there are any such restrictive covenants registered, and tailor this search to consider cannabis-specific requirements. Like in every real estate transaction, the purchaser’s solicitor should make sure that marketable title to the property is conveyed to the purchaser free and clear of any encumbrances. This will allow purchasers the freedom to conduct their cannabis-related business activities at or on the property without interference or additional restrictions beyond any laws and regulations.
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