Liability Issue?

Originally Posted By: jhorton
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(the sellers) liability by …


Adding professional supporting documentation to your disclosure statement.


Alerting you to immediate safety issues before agents and visitors tour your home.


Copies of the inspection report along with receipts for any repairs should be made available to potential buyers.


One of the things my lawyer (a good friend) told me when I started was never to do an inspection for an owner on a house that was sale because it could imply a warranty to the buyer. Meaning I could be liable to the new and old owner if they found something after they moved in.

Has anyone addressed this issue? Maybe in their contract?

Maybe it has to do one of our state laws too?

I like the idea's presented and think there could be a good marketing angle for me too. Obviously want to protect myself too.

One thing that comes to mind is that if we did miss something the liability is probably there anyway? Guess I am going to have to call him up and have a talk with him.


--
Jeff <*\\><
The man who tells the truth doesn't have to remember what he said.

Originally Posted By: jfarsetta
This post was automatically imported from our archived forum.



In your inspection agreement, it should clearly state that the observations made were made AT THE TIME OF THE INSPECTION. Also, your Agreement should also clearly state that it is the property of the CLIENT, and may not be reproduced or distributed without your prior written consent. Adding to this, should be a clause whuch states that if a third-party (in this case the Buyer) uses the information obtained without your consent against you, the person responsible for distributing your report (in this case your Client, the Seller) must indemnify you. There it is…


The biggest case for not doing a Sellers inspection falls squarely on the seller and the seller's agent. They will be responsible to automatically disclose all defects you found. It will follow the house until the title is transferred. So, instead of hoping the next inspector never finds where the bodies are buried, they will be obligated to disclose the information prior to an inspector stepping foot on the property.

Joe Farsetta