The irrevocable date in an Ontario real estate offer is the specific date and time by which the offer must be accepted, or it automatically becomes null and void. During the irrevocable period, the party who made the offer cannot withdraw or change it, giving the other side a guaranteed window to respond.
This clause appears in the standard OREA Agreement of Purchase and Sale used across Ontario. The language in the form typically reads along these lines: the offer shall be irrevocable by the buyer (or seller, in the case of a counter-offer) until a stated time on a stated date, after which the offer is null and void and the deposit is returned. It is found in the first section of both OREA Form 100, used for freehold properties, and OREA Form 101, used for condominiums.
The irrevocable date binds the person making the offer, not the person receiving it. If a buyer submits an offer with an irrevocable period set until 8:00 p.m. on a given day, that buyer cannot pull the offer back before that time. But the seller remains free to accept, reject, or counter-offer at any point within that window. If the seller accepts within the irrevocable period, a legally binding contract is formed. If the deadline passes without acceptance, the offer expires on its own and neither party has any obligation.
One important nuance involves counter-offers. Under Ontario contract law, a counter-offer acts as a rejection of the original offer. If a seller receives a buyer's offer and signs it back with changes to the price or any other term, the original offer is considered dead regardless of how much irrevocable time remained. The seller cannot later revert to the original terms without the buyer's agreement.
The length of the irrevocable period is negotiable and strategic. In a competitive multiple-offer situation, a buyer may set a short irrevocable period to pressure the seller into a quick decision. When circumstances require more time, such as a seller who is travelling or an estate sale involving multiple parties, the irrevocable period may extend to 48 hours or longer. There is no minimum or maximum set by law.
Understanding the irrevocable date is closely related to how the entire offer process works. For a broader look at the document itself, see our guide to the Agreement of Purchase and Sale.