What is the test for determining whether a defect is latent?

Ontario, Canada


The following excerpt is from Ricchio v. Rota, 2011 ONSC 6192 (CanLII):

The test to determine whether a defect is latent has been set out in Swayze v. Robertson, [2001] O.J. No. 968 at para. 27, where LaForme J. states: (a) “Latent defect” as it relates to the case at bar is in effect some fault in the structure that is not readily apparent to an ordinary purchaser during a routine inspection. And ordinarily, if a vendor actively conceals a latent defect, the rule of caveat emptor no longer applies and the purchaser is entitled, at their option, to ask for a [rescission] of the contract or compensation for damages.

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