Commercial Property Title Defect and Encroachment Due Diligence in Alberta

1. Confirm the exact property perimeter

Identify every parcel, condominium unit, legal description, title, included improvement, parking or storage right and access route. Reconcile the marketed address and site plan to the legal transaction perimeter.

A multi-parcel operating site may depend on cross-access, utilities or circulation over land not included in the purchase. Map those dependencies before evaluating the issue.

• Certified titles
• Legal descriptions
• Registered plans
• Included parcels
• Operational dependencies
• Intended use

2. Obtain the instruments, not just the title labels

Alberta Land Registry identifies title as the official ownership record and provides searches for registered documents. Order the mortgages, caveats, easements, restrictive covenants, liens, leases or other instruments counsel needs.

A registration label does not state the complete rights, obligations, priority, spatial area, expiry or enforcement status. Counsel should interpret the document and determine what additional evidence is required.

3. Compare legal records with current occupation

Review survey plans and current professional survey evidence against buildings, additions, canopies, fences, signs, yards, parking, loading, utilities and neighbouring use. Photograph and date material features without treating visual observation as a boundary conclusion.

An apparent encroachment may involve a survey, title, agreement, municipal or physical issue. An Alberta Land Surveyor and counsel should define whether a conflict exists and what record can support a decision.

4. Test legal, constructed and operational access

Trace every customer, truck, emergency, parking, loading and utility route from a public connection to the relevant site area. Identify whether each route sits on title, a registered easement, road plan, lease, licence or informal practice.

Long use, an open gate, shared paving or a seller statement does not by itself establish a durable legal right. Confirm municipal or transportation approvals and whether the route is physically adequate for the buyer's intended operation.

5. Build an exception and resolution ledger

For each issue, record source, date, affected parcel, present use, proposed use, registered document, physical evidence, municipal evidence, professional owner, lender position, proposed response and decision deadline.

Possible responses can include correction, discharge, postponement, new easement, survey work, agreement amendment, holdback, indemnity, policy request, price adjustment or withdrawal. This list is not legal advice and no response should be assumed available or sufficient.

6. Review title-insurance proposals precisely

If title insurance is proposed, identify the insured, interest, property, effective date, limit, endorsements, exclusions, exceptions, conditions and claim process from the actual document. Ask whether the specific known issue is excepted or affirmatively addressed in writing.

A title-insurance quotation does not create access or cure the underlying condition. Do not waive survey, municipal, environmental or legal work merely because a policy may be available.

7. Connect evidence to conditions and lender approval

The purchase agreement should provide the time, access, documents, objection mechanics and decision rights needed for the planned review. Coordinate deadlines for title, survey, municipal, lender, insurance and intended-use work so one waiver does not strand another unresolved risk.

A lender's willingness to fund is not the buyer's conclusion on use, value or exit marketability. Preserve separate buyer, lender, counsel and insurer decisions.

8. Close only against defined evidence

Before closing, reconcile the final title state, registered or pending corrective documents, agreement amendments, lender approval, issued policy if used and any post-closing undertaking or holdback controlled by counsel.

Commercially can coordinate brokerage diligence, property access and issue tracking. It does not provide a title opinion, determine legal access, certify boundaries, promise coverage or guarantee that an issue can be cured.