REAL ESTATE SELLER DISCLOSURE ACT - REPEALED — 1996 Pa. Act 84 (historical enacted text)

Historical Act text

SENATE AMENDED
PRIOR PRINTER'S NOS. 1854, 2116, 2820, PRINTER'S NO. 3770
3502, 3656, 3667
INTRODUCED BY RAYMOND, CIVERA, SAYLOR, SURRA, DeLUCA, MERRY,
FAJT, MUNDY, GEORGE, BELARDI, WAUGH, SEMMEL, STURLA, SATHER,
SCRIMENTI, BUXTON, FARGO, READSHAW, FARMER, DEMPSEY, MELIO,
COLAIZZO, STISH, STETLER, MARKOSEK, GODSHALL, TRELLO, HERMAN,
M. N. WRIGHT, J. TAYLOR, TULLI, RUDY, MIHALICH, BISHOP,
HENNESSEY, PHILLIPS, GANNON, STEIL, HANNA, CARONE, BAKER,
LYNCH, WALKO, PETTIT, FEESE, BOSCOLA, ADOLPH, STABACK,
LAUGHLIN, MILLER, LEVDANSKY, ZIMMERMAN, HERSHEY, HALUSKA,
YOUNGBLOOD, KUKOVICH, RAMOS, ARGALL, SCHRODER, PLATTS, STERN,
GEIST, CLYMER, STEELMAN, SERAFINI, NAILOR, RICHARDSON, HORSEY
AND WASHINGTON, MAY 8, 1995
AS AMENDED ON THIRD CONSIDERATION, IN SENATE, JUNE 17, 1996
AN ACT
1 Providing for a real estate transfer disclosure statement.
2 TABLE OF CONTENTS
3 Section 1. Short title.
4 Section 2. Definitions.
5 Section 3. Applicability.
6 Section 4. Disclosure of material defects.
7 Section 5. Disclosure form.
8 Section 6. Delivery of disclosure form.
9 Section 7. Information unavailable to seller.
10 Section 8. Information subsequently rendered inaccurate.
11 Section 9. Affirmative duty of seller.
12 Section 10. Nonliability of seller.
1 Section 11. Nonliability of agent.
2 Section 12. Failure to comply.
3 Section 13. Amendment of disclosure.
4 Section 14. Specification of items for disclosure no limitation
5 on other disclosure obligations.
6 Section 15. Cause of action.
7 SECTION 16. RULES AND REGULATIONS. <--
8 Section 16 17. Effective date. <--
9 The General Assembly of the Commonwealth of Pennsylvania
10 hereby enacts as follows:
11 Section 1. Short title.
12 This act shall be known and may be cited as the Real Estate
13 Seller Disclosure Act.
14 Section 2. Definitions.
15 The following words and phrases when used in this act shall
16 have the meanings given to them in this section unless the
17 context clearly indicates otherwise:
18 "Agent." Any broker, associate broker or salesperson, as
19 defined in the act of February 19, 1980 (P.L.15, No.9), known as
20 the Real Estate Licensing and Registration Act.
21 "Buyer." Any individual, partnership, corporation, trustee
22 or combination thereof purchasing any estate or interest in real
23 property as provided under section 3(a).
24 "Final settlement." The time at which the buyer and seller
25 have signed and delivered all papers and consideration to convey
26 title to the estate or interest in real property being conveyed.
27 "MATERIAL DEFECT." A PROBLEM WITH THE PROPERTY OR ANY <--
28 PORTION OF IT THAT WOULD HAVE A SIGNIFICANT ADVERSE IMPACT ON
29 THE VALUE OF THE RESIDENTIAL REAL PROPERTY OR THAT INVOLVES AN
30 UNREASONABLE RISK TO PEOPLE ON THE LAND.
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1 "Seller." Any individual, partnership, corporation, trustee
2 or combination thereof transferring any estate or interest in
3 residential real property as provided under section 3(a).
4 Section 3. Applicability.
5 (a) General rule.--This act shall apply to the transfer of
6 any interest in real estate consisting of not less than one nor
7 more than four residential dwelling units, whether by sale,
8 exchange, installment sales contract, lease with an option to
9 purchase, grant, lease or transfer of interest in a residential <--
10 cooperative or condominium. UNIT IN A RESIDENTIAL CONDOMINIUM OR <--
11 COOPERATIVE.
12 (b) Exceptions.--This act shall not apply to the following:
13 (1) Transfers pursuant to court order, including, but
14 not limited to, transfers ordered by a probate court in the
15 administration of an estate, transfers pursuant to a writ of
16 execution, transfers by a trustee in bankruptcy, transfers by
17 eminent domain and condemnation and transfers resulting from
18 a decree for specific performance.
19 (2) Transfers to a mortgagee by a mortgagor or successor
20 in interest who is in default, transfers to a beneficiary of
21 a deed of trust by a trustee or successor in interest who is
22 in default, transfers by any foreclosure sale after default
23 in an obligation secured by a mortgage, transfers by a sale
24 under a power of sale or any foreclosure sale under a decree
25 of foreclosure after default in an obligation secured by a
26 deed of trust or secured by any other instrument containing a
27 power of sale or transfers by a mortgagee or a beneficiary
28 under a deed of trust who has acquired the real property at a
29 sale conducted pursuant to a power of sale under a mortgage
30 or deed of trust or a sale pursuant to a decree of
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1 foreclosure or has acquired the real property by a deed in
2 lieu of foreclosure.
3 (3) Transfers by a fiduciary in the course of the
4 administration of a decedent's estate, guardianship,
5 conservatorship or trust.
6 (4) Transfers from one co-owner to one or more other co-
7 owners.
8 (5) Transfers made to a spouse or to a person or persons
9 in the lineal line of consanguinity of one or more of the
10 tranferors.
11 (6) Transfers between spouses resulting from a decree of
12 dissolution of marriage or a decree of legal separation or
13 from a property settlement agreement incidental to the
14 decree.
15 (7) Transfers by a corporation to its shareholders
16 pursuant to a plan of liquidation.
17 (8) Transfers by a partnership to its partners pursuant
18 to a plan of liquidation.
19 (9) Transfers of new residential construction which has
20 not been previously occupied when:
21 (i) the buyer has received a one-year written
22 warranty covering such construction;
23 (ii) the dwelling has been inspected for compliance
24 with the applicable building code or, if there is no
25 applicable code, for compliance with a nationally
26 recognized model building code; and
27 (iii) a certificate of occupancy or a certificate of
28 code compliance has been issued for the dwelling.
29 (C) LIMITATIONS IN THE CASE OF CONDOMINIUMS OR <--
30 COOPERATIVES.--ANY SELLER OF A UNIT IN A CONDOMINIUM CREATED
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1 UNDER THE ACT OF JULY 3, 1963 (P.L.196, NO.117), REFERRED TO AS
2 THE UNIT PROPERTY ACT, OR THE UNIFORM CONDOMINIUM ACT (68
3 PA.C.S. § 3101 ET SEQ.), OR A COOPERATIVE AS DEFINED IN 68
4 PA.C.S. § 4103 (RELATING TO DEFINITIONS), SHALL BE OBLIGATED TO
5 MAKE DISCLOSURES UNDER THIS ACT ONLY WITH RESPECT TO THE
6 SELLER'S OWN UNIT AND SHALL NOT BE OBLIGATED BY THIS ACT TO MAKE
7 ANY DISCLOSURE WITH RESPECT TO ANY COMMON ELEMENTS OR COMMON
8 FACILITIES OF THE CONDOMINIUM OR COOPERATIVE. THE PROVISIONS OF
9 68 PA.C.S. § 3407 (RELATING TO RESALES OF UNITS) SHALL CONTROL
10 DISCLOSURES A SELLER IS REQUIRED TO MAKE CONCERNING COMMON
11 ELEMENTS IN A CONDOMINIUM AND 68 PA.C.S. § 4409 (RELATING TO
12 RESALES OF COOPERATIVE INTERESTS) SHALL CONTROL DISCLOSURES A
13 SELLER IS REQUIRED TO MAKE CONCERNING COMMON ELEMENTS IN A
14 COOPERATIVE.
15 Section 4. Disclosure of material defects.
16 Any seller who intends to transfer any interest in real
17 property shall complete DISCLOSE TO THE BUYER ANY MATERIAL <--
18 DEFECTS WITH THE PROPERTY BY COMPLETING all applicable items in
19 a property disclosure statement prescribed under section 5 and
20 shall deliver to the buyer in accordance with section 6 a signed
21 and dated copy of the completed statement prior to the signing
22 of a written agreement by the seller and prospective buyer that
23 would, subject to the satisfaction of any negotiated
24 contingencies, require the prospective buyer to accept a
25 transfer of the residential real property.
26 Section 5. Disclosure form.
27 The disclosures required by this act pertaining to the
28 property proposed to be transferred are set forth in and shall
29 be made on a form that is substantially similar to the following
30 disclosure form. Nothing in this act shall preclude a seller
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1 from including in this form additional provisions which require
2 greater specificity or which call for the disclosure of the
3 condition or existence of other features of the property.
4 SELLER'S PROPERTY DISCLOSURE STATEMENT
5 Property address: .......................................
6 .........................................................
7 Seller: .................................................
8 A seller must disclose to a buyer all known material
9 defects about property being sold that are not readily
10 observable. This disclosure statement is designed to
11 assist the seller in complying with disclosure
12 requirements and to assist the buyer in evaluating the
13 property being considered.
14 This statement discloses the seller's knowledge of
15 the condition of the property as of the date signed by
16 the seller and is not a substitute for any inspections or
17 warranties that the buyer may wish to obtain. This
18 statement is not a warranty of any kind by the seller or
19 a warranty or representation by any listing real estate
20 broker, any selling real estate broker or their agents.
21 The buyer is encouraged to address concerns about the
22 conditions of the property that may not be included in
23 this statement. This statement does not relieve the
24 seller of the obligation to disclose a material defect
25 that may not be addressed on this form.
26 A material defect is a problem with the property
27 or any portion of it that would have a significant
28 adverse impact on the value of the residential real
29 property or that would significantly impair the health <--
30 or safety of the occupants. INVOLVES AN UNREASONABLE <--
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1 RISK TO PEOPLE ON THE LAND.
2 (1) Seller's expertise. The seller does not possess
3 expertise in contracting, engineering, architecture
4 or other areas related to the construction and
5 conditions of the property and its improvements,
6 except as follows: ..................................
7 (2) Occupancy. Do you, the seller, currently occupy
8 this property? ..... yes ..... no
9 If "no," when did you last occupy the property? ....
10 (3) Roof.
11 (i) Date roof was installed: ......................
12 Documented? ..... yes ..... no ..... unknown
13 (ii) Has the roof been replaced or repaired during
14 your ownership? ..... yes ..... no
15 If "yes," were the existing shingles removed?
16 ..... yes ..... no ..... unknown
17 (iii) Has the roof ever leaked during your
18 ownership? ..... yes ..... no
19 (iv) Do you know of any problems with the roof,
20 gutters or downspouts? ..... yes ..... no
21 Explain any "yes" answers that you give in this section:
22 .........................................................
23 .........................................................
24 (4) Basements and crawl spaces (Complete only if
25 applicable).
26 (i) Does the property have a sump pump?
27 ..... yes ..... no ..... unknown
28 (ii) Are you aware of any water leakage,
29 accumulation or dampness within the basement or
30 crawl space? ..... yes ..... no
19950H1571B3770 - 7 -
1 If "yes," describe in detail: ...................
2 .................................................
3 (iii) Do you know of any repairs or other attempts
4 to control any water or dampness problem in the
5 basement or crawl space? ..... yes ..... no
6 If "yes," describe the location, extent, date
7 and name of the person who did the repair or
8 control effort: .................................
9 .................................................
10 (5) Termites/wood destroying insects, dry rot, pests.
11 (i) Are you aware of any termites/wood destroying
12 insects, dry rot or pests affecting the
13 property? ..... yes ..... no
14 (ii) Are you aware of any damage to the property
15 caused by termites/wood destroying insects, dry
16 rot or pests? ..... yes ..... no
17 (iii) Is your property currently under contract by
18 a licensed pest control company?
19 ..... yes ..... no
20 (iv) Are you aware of any termite/pest control
21 reports or treatments for the property in the
22 last five years? ..... yes ..... no
23 Explain any "yes" answers that you give in this section:
24 .........................................................
25 .........................................................
26 (6) Structural items.
27 (i) Are you aware of any past or present water
28 leakage in the house or other structures?
29 ..... yes ..... no
30 (ii) Are you aware of any past or present movement,
19950H1571B3770 - 8 -
1 shifting, deterioration or other problems with
2 walls, foundations or other structural
3 components? ..... yes ..... no
4 (iii) Are you aware of any past or present problems
5 with driveways, walkways, patios or retaining
6 walls on the property? ..... yes ..... no
7 Explain any "yes" answers that you give in this section.
8 When explaining efforts to control or repair, please
9 describe the location and extent of the problem and the
10 date and person by whom the work was done, if known:
11 .........................................................
12 .........................................................
13 (7) Additions/remodeling. Have you made any additions,
14 structural changes or other alterations to the
15 property? ..... yes ..... no
16 If "yes," please describe: ..........................
17 .....................................................
18 (8) Water and sewage.
19 (i) What is the source of your drinking water?
20 ..... public ..... community system
21 ..... well on property ..... other
22 If "other," please explain: .........................
23 .....................................................
24 (ii) If your drinking water source is not public:
25 when was your water last tested? ................
26 what was the result of the test? ................
27 Is the pumping system in working order?
28 ..... yes ..... no
29 If "no," please explain: ........................
30 .................................................
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1 (iii) Do you have a softener, filter or other
2 purification system? ..... yes ..... no
3 If "yes," is the system: ..... leased ..... owned
4 (iv) What is the type of sewage system?
5 ..... public sewer ..... private sewer
6 ..... septic tank ..... cesspool ..... other
7 If "other," please explain: .....................
8 .................................................
9 (v) Is there a sewage pump? ..... yes ..... no
10 If "yes," is it in working order?
11 ..... yes ..... no
12 (vi) When was the septic system or cesspool last
13 serviced? ......................................
14 (vii) Is either the water or sewage system shared?
15 ..... yes ..... no
16 If "yes," please explain: .......................
17 .................................................
18 (viii) Are you aware of any leaks, backups or other
19 problems relating to any of the plumbing, water
20 and sewage-related items? ..... yes ..... no
21 If "yes," please explain: .......................
22 .................................................
23 (9) Plumbing system.
24 (i) Type of plumbing: ..... copper ..... galvanized
25 ..... lead ..... PVC ..... unknown ..... other
26 If "other," please explain: .....................
27 .................................................
28 (ii) Are you aware of any problems with any of your
29 plumbing fixtures (including, but not limited
30 to: kitchen, laundry or bathroom fixtures, wet
19950H1571B3770 - 10 -
1 bars, hot water heater, etc.)?
2 ..... yes ..... no
3 If "yes," please explain: .......................
4 .................................................
5 (10) Heating and air conditioning.
6 (i) Type of air conditioning: ..... central electric
7 ..... central gas ..... wall ..... none
8 Number of window units included in sale: ........
9 Location: .......................................
10 .................................................
11 (ii) List any areas of the house that are not air
12 conditioned: ....................................
13 .................................................
14 (iii) Type of heating: ..... electric
15 ..... fuel oil ..... natural gas ..... other
16 If "other," please explain: .....................
17 .................................................
18 (iv) List any areas of the house that are not
19 heated: .........................................
20 (v) Type of water heating: ..... electric ..... gas
21 ..... solar ..... other
22 If "other," please explain: .....................
23 .................................................
24 (vi) Are you aware of any underground fuel tanks on
25 the property? ..... yes ..... no
26 If "yes," please describe: ......................
27 .................................................
28 Are you aware of any problems with any item in this
29 section? ..... yes ..... no
30 If "yes," please explain: ...............................
19950H1571B3770 - 11 -
1 .........................................................
2 (11) Electrical system. Are you aware of any problems
3 or repairs needed in the electrical system?
4 ..... yes ..... no
5 If "yes," please explain: ...........................
6 .....................................................
7 (12) Other equipment and appliances included in sale
8 (complete only if applicable).
9 (i) ..... Electric garage door opener
10 Number of transmitters .....
11 (ii) ..... Smoke detectors How many? .....
12 Location: .......................................
13 .................................................
14 (iii) ..... Security alarm system
15 ..... owned ..... leased
16 Lease information: ..............................
17 .................................................
18 (iv) ..... Lawn sprinkler
19 Number ..... Automatic timer .....
20 (v) ..... Swimming pool ..... Pool heater
21 ..... Spa/hot tub
22 List all pool/spa equipment: ...................
23 ................................................
24 (vi) ..... Refrigerator ..... Range
25 ..... Microwave oven ..... Dishwasher
26 ..... Trash compactor ..... Garbage disposal
27 (vii) ..... Washer ..... Dryer
28 (viii) ..... Intercom
29 (ix) ..... Ceiling fans ..... Number
30 Location: .......................................
19950H1571B3770 - 12 -
1 (x) Other: ........................................
2 Are any items in this section in need of repair or
3 replacement? ..... yes ..... no ..... unknown
4 If "yes," please explain: ...............................
5 .........................................................
6 (13) Land (soils, drainage and boundaries).
7 (i) Are you aware of any fill or expansive soil on
8 the property? ..... yes ..... no
9 (ii) Are you aware of any sliding, settling, earth
10 movement, upheaval, subsidence or earth stability
11 problems that have occurred on or that affect the
12 property? ..... yes ..... no
13 NOTE TO BUYER: YOUR PROPERTY MAY BE SUBJECT TO MINE <--
14 SUBSIDENCE DAMAGE. MAPS OF THE COUNTIES AND MINES WHERE
15 MINE SUBSIDENCE DAMAGE MAY OCCUR AND MINE SUBSIDENCE
16 INSURANCE ARE AVAILABLE THROUGH:
17 DEPARTMENT OF ENVIRONMENTAL PROTECTION
18 MINE SUBSIDENCE INSURANCE FUND
19 3913 WASHINGTON ROAD
20 MCMURRAY, PA 15317
21 412-941-7100
22 (iii) Are you aware of any existing or proposed
23 mining, strip mining or any other excavations
24 that might affect this property?
25 ..... yes ..... no
26 (iv) To your knowledge, is this property, or part of
27 it, located in a flood zone or wetlands area?
28 ..... yes ..... no
29 (v) Do you know of any past or present drainage or
30 flooding problems affecting the property?
19950H1571B3770 - 13 -
1 ..... yes ..... no
2 (vi) Do you know of any encroachments, boundary
3 line disputes or easements? ..... yes ..... no
4 NOTE TO BUYER: Most properties have easements
5 running across them for utility services and
6 other reasons. In many cases, the easements do
7 not restrict the ordinary use of the property,
8 and the seller may not be readily aware of them.
9 Buyers may wish to determine the existence of
10 easements and restrictions by examining the
11 property and ordering an abstract of title or
12 searching the records in the Office of the
13 Recorder of Deeds for the county before entering
14 into an agreement of sale.
15 (vii) Are you aware of any shared or common areas
16 (for example, driveways, bridges, docks, walls,
17 etc.) or maintenance agreements?
18 ..... yes ..... no
19 Explain any "yes" answers that you give in this section:
20 .........................................................
21 .........................................................
22 (14) Hazardous substances.
23 (i) Are you aware of any underground tanks or
24 hazardous substances present on the property
25 (structure or soil), including, but not limited
26 to, asbestos, polychlorinated biphenyls (PCBs),
27 radon, lead paint, urea-formaldehyde foam
28 insulation (UFFI), etc.? ..... yes ..... no
29 (ii) To your knowledge, has the property been tested
30 for any hazardous substances? ..... yes ..... no
19950H1571B3770 - 14 -
1 (iii) Do you know of any other environmental
2 concerns that might impact upon the property?
3 ..... yes ..... no
4 Explain any "yes" answers that you give in this section:
5 .........................................................
6 .........................................................
7 (15) Condominiums and other homeowners associations
8 (complete only if applicable).
9 (i) Type: ..... condominium* ..... cooperative <--
10 ..... homeowners association ..... other
11 If "other," please explain: .....................
12 .................................................
13 (ii) Are you aware of any defect, damage or problem <--
14 with any common element or common area that
15 materially affects the property?
16 ..... yes ..... no
17 (iii) Are you aware of any condition or claim which
18 may result in an increase in assessments or fees?
19 ..... yes ..... no
20 Explain any "yes" answers that you give in this section:
21 .........................................................
22 .........................................................
23 * NOTICE REGARDING CONDOMINIUMS: According to section
24 3407 of the Uniform Condominium Act (68 Pa.C.S. § 3407
25 (relating to resales of units)), a buyer of a resale unit
26 in a condominium must receive a certificate of resale
27 issued by the condominium association. The buyer will
28 have the option of canceling the agreement with return of
29 all deposit moneys for five days after the certificate is
30 received.
19950H1571B3770 - 15 -
1 NOTICE REGARDING CONDOMINIUMS AND COOPERATIVES: <--
2 ACCORDING TO SECTION 3407 OF THE UNIFORM
3 CONDOMINIUM ACT (68 PA.C.S. § 3407 (RELATING TO RESALES OF UNITS)
4 AND 68 PA.C.S. § 4409 (RELATING TO RESALES OF COOPERATIVE INTERESTS),
5 A BUYER OF A RESALE UNIT IN A CONDOMINIUM OR
6 COOPERATIVE MUST RECEIVE A CERTIFICATE OF RESALE ISSUED BY
7 THE ASSOCIATION IN THE CONDOMINIUM OR COOPERATIVE.
8 THE BUYER WILL HAVE THE OPTION OF CANCELING THE AGREEMENT
9 WITH RETURN OF ALL DEPOSIT MONEYS UNTIL THE CERTIFICATE
10 HAS BEEN PROVIDED TO THE BUYER AND FOR FIVE DAYS THEREAFTER
11 OR UNTIL CONVEYANCE, WHICHEVER OCCURS FIRST.
12 (16) Miscellaneous.
13 (i) Are you aware of any existing or threatened
14 legal action affecting the property?
15 ..... yes ..... no
16 (ii) Do you know of any violations of Federal, State
17 or local laws or regulations relating to this
18 property? ..... yes ..... no
19 (iii) Are you aware of any public improvement,
20 condominium or homeowner association assessments
21 against the property that remain unpaid or of any
22 violations of zoning, housing, building, safety
23 or fire ordinances that remain uncorrected?
24 ..... yes ..... no
25 (iv) Are you aware of any judgment, encumbrance,
26 lien (for example, comaker or equity loan) or
27 other debt against this property that cannot be
28 satisfied by the proceeds of this sale?
29 ..... yes ..... no
30 (v) Are you aware of any reason, including a defect
19950H1571B3770 - 16 -
1 in title, that would prevent you from giving a
2 warranty deed or conveying title to the property?
3 ..... yes ..... no
4 (vi) Are you aware of any material defects to the
5 property, dwelling or fixtures which are not
6 disclosed elsewhere on this form?
7 ..... yes ..... no
8 A material defect is a problem with the property
9 or any portion of it that would have a significant
10 adverse impact on the value of the residential
11 real property or that would significantly <--
12 impair the health or safety of the occupants.
13 INVOLVES AN UNREASONABLE RISK TO PEOPLE ON THE LAND. <--
14 Explain any "yes" answers that you give in
15 this section:
16 .........................................................
17 .........................................................
18 The undersigned seller represents that the
19 information set forth in this disclosure statement is
20 accurate and complete to the best of the seller's
21 knowledge. The seller hereby authorizes any agent for the
22 seller to provide this information to prospective buyers
23 of the property and to other real estate agents. The
24 seller alone is responsible for the accuracy of the
25 information contained in this statement. The seller shall
26 cause the buyer to be notified in writing of any
27 information supplied on this form which is rendered
28 inaccurate by a change in the condition of the property
29 following the completion of this form.
30 SELLER .............................. DATE ..............
19950H1571B3770 - 17 -
1 SELLER .............................. DATE ..............
2 SELLER .............................. DATE ..............
3 .........................................................
4 EXECUTOR, ADMINISTRATOR, TRUSTEE, SELLER <--
5 The undersigned has never occupied the property and
6 lacks the personal knowledge necessary to complete this
7 disclosure statement.
8 .........................................................
9 .........................................................
10 ..................................... DATE ..............
11 .........................................................
12 .........................................................
13 RECEIPT AND ACKNOWLEDGMENT BY BUYER
14 The undersigned buyer acknowledges receipt of this
15 disclosure statement. The buyer acknowledges that this
16 statement is not a warranty and that, unless stated
17 otherwise in the sales contract, the buyer is purchasing
18 this property in its present condition. It is the buyer's
19 responsibility to satisfy himself or herself as to the
20 condition of the property. The buyer may request that
21 the property be inspected, at the buyer's expense and by
22 qualified professionals, to determine the condition of
23 the structure or its components.
24 BUYER ............................... DATE ..............
25 BUYER ............................... DATE ..............
26 BUYER ............................... DATE ..............
27 Section 6. Delivery of disclosure form.
28 (a) Method of delivery.--The seller's delivery of the
29 property disclosure statement to the buyer as prescribed by this
30 act shall be by personal delivery; ordinary mail; certified
19950H1571B3770 - 18 -
1 mail, return receipt requested; or facsimile transmission to the
2 buyer or the buyer's agent.
3 (b) Parties to whom delivered.--For purposes of this act,
4 delivery to one prospective buyer or buyer's agent is deemed
5 delivery to all persons intending to take title as cotenants,
6 joint tenants or as a tenant by the entireties with the buyer.
7 Receipt may be acknowledged on the statement, in an agreement
8 for the conveyance of the residential real property or shown in
9 any other verifiable manner.
10 Section 7. Information unavailable to seller.
11 If at the time the disclosures are required to be made, an
12 item of information required to be disclosed is unknown or not
13 available to the seller and the seller has made an effort to
14 ascertain it, the seller may make a disclosure based on the best
15 information available to the seller, provided it is identified
16 as a disclosure based on an incomplete factual basis.
17 Section 8. Information subsequently rendered inaccurate.
18 If information disclosed in accordance with this act is
19 subsequently rendered inaccurate as a result of any act,
20 occurrence or agreement subsequent to the delivery of the
21 required disclosures, the inaccuracy resulting therefrom does <--
22 not constitute a violation of this act. THE SELLER SHALL NOTIFY <--
23 THE BUYER OF THE INACCURACY.
24 Section 9. Affirmative duty of seller.
25 The seller is not obligated by this act to make any specific
26 investigation or inquiry in an effort to complete the disclosure
27 statement. In completing the disclosure statement, the seller
28 shall not make any representations which he or his agent know or
29 have reason to know are false, deceptive or misleading, and
30 shall not fail to disclose a known material defect.
19950H1571B3770 - 19 -
1 Section 10. Nonliability of seller.
2 (a) General rule.--A seller shall not be liable for any
3 error, inaccuracy or omission of any information delivered
4 pursuant to this act if:
5 (1) the seller had no knowledge of the error, inaccuracy
6 or omission;
7 (2) the error, inaccuracy or omission was based on a
8 reasonable belief that a material defect or other matter not
9 disclosed had been corrected; or
10 (3) the error, inaccuracy or omission was based on
11 information provided by a public agency, licensed engineer,
12 land surveyor, structural pest control inspector, home
13 inspector or contractor about matters within the scope of the
14 contractor's occupation and the seller had no knowledge of
15 the error, inaccuracy or omission.
16 (b) Delivery of information by public agency.--The delivery
17 of any information required to be disclosed by this act to a
18 prospective buyer by a public agency or other person providing
19 information required to be disclosed under this act shall be
20 deemed to comply with the requirements of this act and shall
21 relieve the seller or his agent of any further duty under this
22 act with respect to that item of information.
23 (c) Report by expert.--The delivery of a report or opinion
24 prepared by a licensed engineer, land surveyor, geologist,
25 structural pest control operator, contractor or other expert
26 dealing with matters within the scope of the professional's
27 license or expertise shall be sufficient compliance for
28 application of the exemption provided under subsection (a)(3) if
29 the information is provided to the prospective buyer in writing.
30 Section 11. Nonliability of agent.
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1 An agent of a seller or a buyer shall not be liable for any
2 violation of this act unless the agent had actual knowledge of a
3 material defect which was not disclosed to the buyers or of any
4 misrepresentation relating to a material defect.
5 Section 12. Failure to comply.
6 A transfer subject to this act shall not be invalidated
7 solely because of the failure of any person to comply with any
8 provision of this act. However, any person who willfully or
9 negligently violates or fails to perform any duty prescribed by
10 any provision of this act shall be liable in the amount of
11 actual damages suffered by a buyer as a result of a violation of
12 this act. A court may require a person found to have willfully <--
13 violated this act to pay the reasonable attorney fees and court
14 costs of a buyer who has suffered damages as a result of a
15 violation of this act. This section shall not be construed as to
16 restrict or expand the authority of a court to impose punitive
17 damages or apply other remedies applicable under other
18 provisions of law. If a seller fails to disclose a material <--
19 defect known to the seller at or before the delivery of the
20 required disclosures, and the defect is not readily observable,
21 the buyer may rescind the contract prior to final settlement. An
22 PROVISIONS OF LAW. AN action for damages as a result of a <--
23 violation of this act must be commenced within two years from
24 the date of final settlement.
25 Section 13. Amendment of disclosure.
26 Any disclosure made pursuant to this act may be amended in
27 writing by the seller prior to the signing of a written
28 agreement by the seller and buyer that would, subject to the
29 satisfaction of any negotiated contingencies, require the
30 prospective buyer to accept a transfer of the residential real
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1 property.
2 Section 14. Specification of items for disclosure no limitation
3 on other disclosure obligations.
4 (a) General rule.--The specification of items for disclosure
5 in this act does not limit or abridge any obligation for
6 disclosure created by any other provision of law or which may
7 exist in order to avoid fraud, misrepresentation or deceit in
8 the transfer transaction.
9 (b) Responsibility of licensee.--Nothing in this act shall
10 abrogate or diminish the responsibility of a licensee under the
11 act of February 19, 1980 (P.L.15, No.9), known as the Real
12 Estate Licensing and Registration Act.
13 (c) Duty to provide form.--An agent representing a seller
14 must advise a seller of the seller's responsibilities under this
15 act and must provide the seller with a copy of the disclosure
16 form.
17 Section 15. Cause of action.
18 A buyer shall not have a cause of action against any seller
19 or agent for the seller or buyer for:
20 (1) material defects to the property disclosed to the
21 buyer prior to the signing of a written agreement by the
22 seller and buyer that would, subject to the satisfaction of
23 any negotiated contingencies, require the prospective buyer
24 to accept a transfer of the residential real property;
25 (2) material defects which have developed after the
26 signing of the written agreement by the seller and
27 prospective buyer that, subject to satisfaction of any
28 negotiated contingencies, require the prospective buyer to
29 accept a transfer of the residential real property, provided
30 the seller has complied with the terms of the written
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1 agreement; or
2 (3) material defects which occur after final settlement.
3 SECTION 16. RULES AND REGULATIONS. <--
4 THE REAL ESTATE COMMISSION SHALL HAVE THE POWER BY REGULATION
5 TO MAKE AMENDMENTS, ADDITIONS AND DELETIONS TO THE DISCLOSURE
6 FORM PRESCRIBED UNDER SECTION 5.
7 Section 16 17. Effective date. <--
8 This act shall take effect in 60 days.
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