General Service Conditions

PV Realty Advisors Inc. (“PV”) and Client., agree that the attached Engagement Letter governs this engagement, and includes these General Service Conditions, which collectively represents the entire agreement between PV and Client (collectively the “Contract”). In addition, the Contract supersedes any prior oral or written agreement(s) and may not be altered except by the mutual written agreement that is signed by both Client and PV.

Assignment: Neither PV nor Client may assign, transfer, or delegate any of the rights or obligations under the Contract without the prior written consent of the other party, unless such assignment is based upon the lawful transfer to a successor in interest of all or substantially all of the party’s assets or business interests.

Client of Record: Only Client may rely on the results of PV’s work. No third party may rely upon or have the contractual rights of Client without PV’s prior written consent. No party may rely on the results of PV’s work as a substitute for its own due diligence.

Communication: Electronic media including voicemail, e-mail, and faxes are acceptable vehicles to communicate all materials unless such communication forms are expressly prohibited in the Contract. PV will not be deemed to have any knowledge of any information that Client has not provided directly to Parveen Vij or other designated PV representative.

Contingent Fees: PV’s compensation is not contingent in any way upon its opinions, conclusions, or any subsequent event directly related to those opinions or conclusions. In addition, PV’s compensation is deemed earned up either the conclusion of the Appraisal or the submission of PV’s report, whichever is later. Client agrees to pay PV’s invoices in accordance with the stated terms of the Contract.

Confidentiality: PV will maintain the confidentiality of Client’s confidential information (“Confidential Information”) with the same degree of care that PV uses to keep its own materials confidential and will not disclose any Confidential Information to anyone or use it for any purpose whatsoever other than for the services described in the attached Engagement Letter; provided, however, that in the event that PV is legally compelled to disclose such information, PV will provide Client with prompt written notice so that Client may seek a protective remedy, if available, at Client’s own expense. PV will have the right to provide access to work files as required to comply with any quality or compliance audits administered by any necessary accreditation or standards organizations with which PV’s employees are associated. Any such access will continue to be subject to the same confidence by both PV and the applicable organization. Confidential Information will not be treated as confidential if: (i) it is now or later available to the public, (ii) at the time of disclosure to PV, the information was already in its possession, or (iii) the information was legally obtained from a third party that is under no obligation of confidentiality to Client. Unless mandated by applicable laws or governmental regulations, Client will not disclose any part of PV’s work product, confidential materials, or role in the engagement to anyone not stipulated in the Contract without the prior written consent of PV. Client grants PV the right to include Client’s name on PV’s client list.

Force Majeure: Neither the Client nor PV will be liable for delays or for failures to perform according to the terms of the Contract due to circumstances that are beyond their respective individual control.

Governing Law, Jurisdiction, and Venue: The Contract will be governed by the laws of the Province of Ontario and within the jurisdiction of any Provincial or Federal court located in Ontario having subject matter jurisdiction.

Indemnification: Client will indemnify and hold harmless PV against and from any and all losses, claims, actions, damages, expenses, or liabilities, including reasonable solicitors’/attorneys’ fees, to which PV may become subject in connection with this engagement, except to the extent final judicially determined results have concluded that PV engaged in gross negligence or intentional misconduct. Client’s obligation for indemnification and reimbursement extends to any controlling person of PV, including any directors, officers, agents, attorneys, representatives, stockholders, employees, independent contractors, subcontractors, subsidiaries, parents, affiliated companies, guarantors, successors, and assigns. PV’s liability to Client in no event will exceed the fees PV actually receives as a result of the engagement.

PV will indemnify and hold harmless Client against and from any and all losses, claims, actions, damages, liabilities, and expenses for bodily injury or property damage, including reasonable solicitors’/attorneys’ fees, in proportionate part to that which is caused by PV personnel or representatives during the performance of the engagement, except to the extent of Client’s negligence or misconduct. While on Client’s premises, any PV agent or representative will comply with all posted safety instructions and procedures requested by Client.

Independent Contractor: PV and Client are independent contractors with respect to each other. PV reserves the right to use subcontractors in the execution of this engagement. PV is an equal opportunity employer.

Limits on the Use of the Work: PV’s report may be used only for the specific use or uses stated in the Contract and is explicitly invalid for any other use.

Reliance on Information Provided by Client: PV is entitled to rely without independent verification on the accuracy and completeness of all of the information provided by Client or its representatives, agents, and/or advisors.

Retention: Unless stipulated to the contrary in the Contract or in a related written agreement that is signed by both parties, PV will retain as its sole property all files, documents, work papers, and other results developed during the course of the engagement. Such materials will be retained for a period of at least 7 years. During this retention period, Client will have access to these documents to assist Client in completing the specific use or uses stated in the Contract, subject only to reasonable written notification.

Scope of the Work: PV is obligated only for services specified in the Contract, and only for changes to the scope of those services that are set forth in any subsequent written agreement and signed by both parties. As a result, the scope of the work does not include unrelated services or the responsibility to update any of the work after its completion. Further, it is understood, acknowledged, and agreed that during the course of research and analysis required to complete this Appraisal, it may become necessary for PV to invoke extraordinary assumptions and limiting conditions, which may impact the value estimates reported. The invocation of such extraordinary assumptions and limiting conditions are generally a result of information from our market research and analysis as it pertains to the assignment at hand. A summary of the extraordinary assumptions and limiting conditions invoked will be identified within the report. Further, PV reserves the right to decline to perform any additional services, if PV believes such services would create an actual or perceived conflict of interests or would be illegal or in violation of applicable regulations or professional standards.

Note: Generally, the prospective value of the subject property is NOT taken into consideration in most of the assignments due to the continuously changing financial, economic, social and political conditions. Unless specifically stated within the report based on its site-specific stage of official plan and zoning amendment approval towards its potential highest and best use. Merely having the property within long term municipal, provincial and federal planning does not constitute evidence towards the higher value. The value given is based on the similar comparable uses that an informed buyer shall pay based on the current use of the subject property.

Standards of Performance: PV will perform its obligations under the Contract in accordance with applicable professional standards. Professional services, however, usually involve judgments made in an uncertain environment and based on an analysis of data that may be unverified or subject to change over time. Client and other parties to whom Client provides access to the results of PV’s work must evaluate PV’s performance based on the specifications of the Contract as well as on the applicable professional standards.

Reliance Letter: PV will only provide only one reliance letter if required and requested by the client. A written authorization to release of and all associated rights to the report shall be required by the previous relying party in case additional reliance letter is requested. The reliance letter for the reports ordered through Appraisal Management Companies (AMCs) shall only be addressed through AMCs / Lender’s internal channel. Additional charges may apply.

The reliance letter and transmittal letter requests for the residential files shall only be considered 30 days before the effective date of the appraisal and in addition we reserves the right to refuse the reliance letter and transmittal letter requests based on the volatile market condition. requests based on the volatile market condition.

The value updates request for the residential files shall only be considered after minimum of 30 days from the effective date of the previous appraisal and in addition we reserves the right to refuse the file update based on volatile market conditions.

Testimony: PV’s services do not include giving any testimony (whether oral or written and whether at trial or deposition) or participating in or attending any court or other legal or regulatory hearing or inquiry unless provided for in the Contract or in a subsequent written agreement that is signed by both parties.

Mandatory Clauses

Assumptions, Limiting Conditions, Disclaimers and Limitations of Liability

The certification that appears in this report is subject to compliance with the Personal Information and Electronics Documents Act (PIPEDA), Canadian Uniform Standards of Professional Appraisal Practice (“CUSPAP”) and the following conditions:

This report is prepared only for the client and authorized users specifically identified in this report and only for the specific use identified herein. No other person may rely on this report or any part of this report without first obtaining consent from the client and written authorization from the authors. Liability is expressly denied to any other person and, accordingly, no responsibility is accepted for any damage suffered by any other person as a result of decisions made or actions taken based on this report. Liability is expressly denied for any unauthorized user or for anyone who uses this report for any use not specifically identified in this report. Payment of the appraisal fee has no effect on liability. Reliance on this report without authorization or for an unauthorized use is unreasonable.
Because market conditions, including economic, social and political factors, may change rapidly and, on occasion, without warning, this report cannot be relied upon as of any date other than the effective date specified in this report unless specifically authorized by the author(s).
The author will not be responsible for matters of a legal nature that affect either the property being appraised or the title to it. The property is appraised on the basis of it being under responsible ownership. No registry office search has been performed, and the author assumes that the title is good and marketable and free and clear of all encumbrances. Matters of a legal nature, including confirming who holds legal title to the appraised property or any portion of the appraised property, are outside the scope of work and expertise of the appraiser. Any information regarding the identity of a property’s owner or identifying the property owned by the listed client and/or applicant provided by the appraiser is for informational purposes only and any reliance on such information is unreasonable. Any information provided by the appraiser does not constitute any title confirmation. Any information provided does not negate the need to retain a real estate lawyer, surveyor or other appropriate experts to verify matters of ownership and/or title.
Verification of compliance with governmental regulations, bylaws or statutes is outside the scope of work and expertise of the appraiser. Any information provided by the appraiser is for informational purposes only and any reliance is unreasonable. Any information provided by the appraiser does not negate the need to retain an appropriately qualified professional to determine government regulation compliance.
No survey of the property has been made. Any sketch in this report shows approximate dimensions and is included only to assist the reader of this report in visualizing the property. It is unreasonable to rely on this report as an alternative to a survey, and an accredited surveyor ought to be retained for such matters.
This report is completed on the basis that testimony or appearance in court concerning this report is not required unless specific arrangements to do so have been made beforehand. Such arrangements will include, but not necessarily be limited to: adequate time to review the report and related data, and the provision of appropriate compensation.
Unless otherwise stated in this report, the author has no knowledge of any hidden or unapparent conditions (including, but not limited to: its soils, physical structure, mechanical or other operating systems, foundation, etc.) of/on the subject property or of/on a neighbouring property that could affect the value of the subject property. It has been assumed that there are no such conditions. Any such conditions that were visibly apparent at the time of inspection or that became apparent during the normal research involved in completing the report have been noted in the report. This report should not be construed as an environmental audit or detailed property condition report, as such reporting is beyond the scope of this report and/or the qualifications of the author. The author makes no guarantees or warranties, express or implied, regarding the condition of the property, and will not be responsible for any such conditions that do exist or for any engineering or testing that might be required to discover whether such conditions exist. The bearing capacity of the soil is assumed to be adequate.
The author is not qualified to comment on detrimental environmental, chemical or biological conditions that may affect the market value of the property appraised, including but not limited to pollution or contamination of land, buildings, water, groundwater or air which may include but are not limited to moulds and mildews or the conditions that may give rise to either. Any such conditions that were visibly apparent at the time of inspection or that became apparent during the normal research involved in completing the report have been noted in the report. It is an assumption of this report that the property complies with all regulatory requirements concerning environmental, chemical and biological matters, and it is assumed that the property is free of any detrimental environmental, chemical legal and biological conditions that may affect the market value of the property appraised. If a party relying on this report requires information about or an assessment of detrimental environmental, chemical or biological conditions that may impact the value conclusion herein, that party is advised to retain an expert qualified in such matters. The author expressly denies any legal liability related to the effect of detrimental environmental, chemical or biological matters on the market value of the property.
The analyses set out in this report relied on written and verbal information obtained from a variety of sources the author considered reliable. Unless otherwise stated herein, the author did not verify client-supplied information, which the author believed to be correct.
The term “inspection” refers to observation only as defined by CUSPAP and reporting of the general material finishing and conditions observed for the purposes of a standard appraisal inspection. The inspection scope of work includes the identification of marketable characteristics/amenities offered for comparison and valuation purposes only.
The opinions of value and other conclusions contained herein assume satisfactory completion of any work remaining to be completed in a good and workmanlike manner. Further inspection may be required to confirm completion of such work. The author has not confirmed that all mandatory building inspections have been completed to date, nor has the availability/issuance of an occupancy permit been confirmed. The author has not evaluated the quality of construction, workmanship or materials. It should be clearly understood that this visual inspection does not imply compliance with any building code requirements as this is beyond the professional expertise of the author.
The contents of this report are confidential and will not be disclosed by the author to any party except as provided for by the provisions of the CUSPAP and/or when properly entered into evidence of a duly qualified judicial or quasi-judicial body. The author acknowledges that the information collected herein is personal and confidential and shall not use or disclose the contents of this report except as provided for in the provisions of the CUSPAP and in accordance with the author’s privacy policy. The client agrees that in accepting this report, it shall maintain the confidentiality and privacy of any personal information contained herein and shall comply in all material respects with the contents of the author’s privacy policy and in accordance with the PIPEDA.
The author has agreed to enter into the assignment as requested by the client named in this report for the use specified by the client, which is stated in this report. The client has agreed that the performance of this report and the format are appropriate for the intended use.
This report, its content and all attachments/addendums and their content are the property of the author. The client, authorized users and any appraisal facilitator are prohibited, strictly forbidden, and no permission is expressly or implicitly granted or deemed to be granted, to modify, alter, merge, publish (in whole or in part) screen scrape, database scrape, exploit, reproduce, decompile, reassemble or participate in any other activity intended to separate, collect, store, reorganize, scan, copy, manipulate electronically, digitally, manually or by any other means whatsoever this appraisal report, addendum, all attachments and the data contained within for any commercial, or other, use.
If transmitted electronically, this report will have been digitally signed and secured with personal passwords to lock the appraisal file. Due to the possibility of digital modification, only originally signed reports and those reports sent directly by the author can be reasonably relied upon.
This report form (form reports) where applicable is the property of the Appraisal Institute of Canada (AIC) and for use only by AIC members in good standing. Use by any other person is a violation of AIC copyright.
Where the intended use of this report is for financing or mortgage lending or mortgage insurance, it is a condition of reliance on this report that the authorized user has or will conduct lending, underwriting and insurance underwriting and rigorous due diligence in accordance with the standards of a reasonable and prudent lender or insurer, including but not limited to ensuring the borrower’s demonstrated willingness and capacity to service his/her debt obligations on a timely basis, and to conduct loan underwriting or insuring due diligence similar to the standards set out by the Office of the Superintendent of Financial Institutions (OSFI), even when not otherwise required by law. Liability is expressly denied to those that do not meet this condition. Any reliance on this report without satisfaction of this condition is unreasonable.
By accepting this report, the client and the authorized user(s) understand and accepted that this report was completed based on the assumptions and limitations listed in the body of this report, including any extraordinary assumptions. Any assumptions or extraordinary assumptions listed in the body of this report have not been independently verified by the author(s) and/or are items that the author(s) have been asked to assume are true as part of this assignment. This report may not be reasonably relied on as proof that any of assumption(s) or extraordinary assumption(s) are true and accurate or that they will be true and accurate at any point in the future. In the event that any assumption(s) or extraordinary assumption(s) in this report are not true and accurate, it may impact the result of this appraisal. The author(s) disclaim any liability arising from any assumptions or extraordinary assumptions not being true and accurate as at the date of this report or in the future.
By accepting this report, the client and authorized user(s) accept that that this report provides no indication or guarantee of investment returns.
The appraiser(s) does(do) not offer an opinion and does(do) not make any representations as to the advisability or inadvisability of the investment in a syndicated investment mortgage and the prospect of returns. The report is not a substitute for proper due diligence. The client or authorized user(s) must conduct their own due diligence and consult financial advisors or other appropriately qualified professionals. Reliance on this report without conducting appropriate due diligence with respect to the advisability of this investment is unreasonable and in such circumstances all liability for the appraiser is disclaimed.