About Ashcroft Homes – Eastboro Inc.
Updated March 5, 2025
Tarion continues to closely monitor the situation involving Ashcroft Homes – Eastboro Inc. We understand that purchasers of pre-construction homes are concerned about the status of the project and what it means for their purchase agreements.
We encourage you to speak with your real estate lawyer if you have questions about your agreement of purchase and sale and the receivership process. Information about the receivership is available on the Receiver’s website.
Tarion will update this notice from time to time.
Information for Purchasers
Ashcroft Homes – Eastboro Inc.
On October 17, 2024, the Ontario Superior Court of Justice (the “Court”) appointed MNP Ltd. as the receiver (the “Receiver”) over Ashcroft Homes – Eastboro Inc. On their own, neither the appointment of the receiver nor the commencement of receivership proceedings resulted in the termination or fundamental breach of Ashcroft Homes – Eastboro Inc. agreements of purchase and sale and a stay of proceedings is in place.
On January 23, 2025, the Court made an order, among other things, authorizing and/or directing the Receiver to terminate certain categories of Ashcroft Homes – Eastboro Inc. agreements of purchase and sale. That order also approved a sale process in respect of the Ashcroft Homes – Eastboro Inc. project, and the Receiver is engaged in activities intended to maximize creditor recoveries. As such, the precise direction of the receivership proceedings and what that will mean for all purchasers, their agreements of purchase and sale, the return of deposits and potential recoveries as creditors is not yet certain.
As at the date of this notice, Tarion understands that the agreements of purchase and sale of certain individual purchasers may have been terminated by the Receiver. It is the obligation of Ashcroft Homes – Eastboro Inc. to provide deposit refunds to purchasers in these circumstances, meaning that certain purchasers may have claims against Ashcroft Homes – Eastboro Inc. for the refund of their deposits. In the event that purchasers are unable to receive the refund of their deposits from Ashcroft Homes – Eastboro Inc., then Tarion provides deposit warranty coverage, as described below.
Important Note Concerning Timing of Deposit Claims
Purchasers are required to first seek their deposit refunds from Ashcroft Homes – Eastboro Inc. or from the receivership estate, as may be applicable. This typically occurs through a claims process in the receivership proceeding (see paragraph below). If such efforts are not successful or only partially successful then the Ontario New Home Warranty and Protection Plan backstop coverage may be available to address all or part of your deposit losses. Tarion cannot process a deposit claim until this important step has taken place.
Tarion further understands that there may also be a future claims procedure order made in the receivership proceedings, pursuant to which purchasers who paid deposits to Ashcroft Homes – Eastboro Inc. for pre-construction homes will be able to file claims. Tarion will update this webpage accordingly, including with respect to the timing from a Tarion-perspective for filing Deposit Protection claims, if applicable.
Deposit Protection from Tarion
Purchasers can have confidence that if purchase agreements have been, or are ultimately, terminated as part of the court-ordered sale process or by transactions completed thereunder, and deposits are not refunded by Ashcroft Homes – Eastboro Inc. through the receivership process, then you will be able to submit a Deposit Protection claim to Tarion. You can learn more about the deposit protection offered by Tarion here.