There is one subject that I should address even though it was not raised by the parties. It is the doctrine of merger. I assume there were conveyances of the lands and, because of this, the question of merger arises. Does the warranty merge into the conveyances and thus disappear? In Fraser-Reid v. Droumtsekas (1979), 1979 CanLII 55 (SCC), 103 D.L.R. (3d) 385 (S.C.C.), Dickson J. stated the general rule (at p.394): Although it is the general rule that the acceptance of a deed is prima facie full execution of the agreement to convey, and preliminary agreements and understandings relating to the sale of land become merged in the conveyance, such a rule is not applicable to independent covenants or collateral stipulations in an agreement of sale not intended by the parties to be incorporated in the conveyance.
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