An agreement for the sale by the deceased taxpayer of her home provided that the purchase would not be completed until 60 days after third reading by the Municipality of Surrey for a rezoning of the property, or such earlier date as the purchaser and vendor agreed to in writing.
In finding that the taxpayer disposed of the property in 1994, when third reading was received, rather than in 1992 when the agreement of purchase and sale was entered into, Rip T.C.J. noted that the requirement to obtain third reading depended entirely on the will of a third party and thus was a true condition precedent that could not be waived, as explained in Turney v. Zhilka, [1959] SCR 578, and indicated (at p. 339) that it was only in 1994 that the taxpayer could enforce payment of the purchase price for the property, so that it was only in 1994 that she was entitled to any portion of the sale price.