Builder Found Guilty of Illegal Selling

Nov 7th, 2023

Regulator charges result in conviction and fine

TORONTO, November 7, 2023 – 2252759 Ontario Inc. has been fined $12,500 after pleading guilty and convicted of selling a new home without authorization from the regulator.

“Illegal building and selling are a serious consumer protection issue,” says Wendy Moir, the Home Construction Regulatory Authority's (HCRA) Chief Executive Officer and Registrar. “Builders operating without a valid licence have not demonstrated that they have the technical skills or competency to build and sell new homes – this lack of professionalism and standards put purchasers at risk personally and financially.”

In 2013, the company entered into an agreement to build and sell a new home to a purchaser. While the home was never built, the purchaser filed a complaint in 2020 with Tarion, the regulator at the time, after learning that the property had been purchased by another company. After investigations, it was revealed that the company did not have authorization from the former regulator to sell the home, as was required by the Ontario New Home Warranties Plan Act, resulting in the charge for selling without authorization.

Upon its designation as the regulator, the HCRA continued to pursue the matter and secured a conviction against the numbered company for illegal selling on September 15, 2023.

“Attempting to bypass the regulator and the requirements for building and selling new homes will never be acceptable,” says Moir.

To enhance consumer protection, all charges and convictions are posted to the Ontario Builder Directory and the HCRA’s website.

About the HCRA

The Home Construction Regulatory Authority is responsible for regulating and licensing the people and companies who build and sell new homes in Ontario. The HCRA enforces high professional standards for competence and conduct in the homebuilding industry, giving new home buyers confidence in one of the biggest purchases of their lives. The HCRA also maintains consistency across the sector, curtailing unethical and illegal builders and vendors.

In addition to licensing, the HCRA provides educational information for consumers on their home buying journey, and hosts the Ontario Builder Directory – the authoritative source of background information about each of Ontario’s more than 6,500 new home builders and vendors.

Contact: Tess Lin
media@hcraontario.ca