SENATE AMENDED
PRIOR PRINTER'S NOS. 1854, 2116, 2820, PRINTER'S NO. 3667
3502, 3656
No. 1571 Session of 1995
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 5, 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.
19950H1571B3667 - 2 -
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.
11 (b) Exceptions.--This act shall not apply to the following:
12 (1) Transfers pursuant to court order, including, but
13 not limited to, transfers ordered by a probate court in the
14 administration of an estate, transfers pursuant to a writ of
15 execution, transfers by a trustee in bankruptcy, transfers by
16 eminent domain and condemnation and transfers resulting from
17 a decree for specific performance.
18 (2) Transfers to a mortgagee by a mortgagor or successor
19 in interest who is in default, transfers to a beneficiary of
20 a deed of trust by a trustee or successor in interest who is
21 in default, transfers by any foreclosure sale after default
22 in an obligation secured by a mortgage, transfers by a sale
23 under a power of sale or any foreclosure sale under a decree
24 of foreclosure after default in an obligation secured by a
25 deed of trust or secured by any other instrument containing a
26 power of sale or transfers by a mortgagee or a beneficiary
27 under a deed of trust who has acquired the real property at a
28 sale conducted pursuant to a power of sale under a mortgage
29 or deed of trust or a sale pursuant to a decree of
30 foreclosure or has acquired the real property by a deed in
19950H1571B3667 - 3 -
1 lieu of foreclosure.
2 (3) Transfers by a fiduciary in the course of the
3 administration of a decedent's estate, guardianship,
4 conservatorship or trust.
5 (4) Transfers from one co-owner to one or more other co-
6 owners.
7 (5) Transfers made to a spouse or to a person or persons
8 in the lineal line of consanguinity of one or more of the
9 tranferors.
10 (6) Transfers between spouses resulting from a decree of
11 dissolution of marriage or a decree of legal separation or
12 from a property settlement agreement incidental to the
13 decree.
14 (7) Transfers by a corporation to its shareholders
15 pursuant to a plan of liquidation.
16 (8) Transfers by a partnership to its partners pursuant
17 to a plan of liquidation.
18 (9) Transfers of new residential construction which has
19 not been previously occupied when:
20 (i) the buyer has received a one-year written
21 warranty covering such construction;
22 (ii) the dwelling has been inspected for compliance
23 with the applicable building code or, if there is no
24 applicable code, for compliance with a nationally
25 recognized model building code; and
26 (iii) a certificate of occupancy or a certificate of
27 code compliance has been issued for the dwelling.
28 Section 4. Disclosure of material defects.
29 Any seller who intends to transfer any interest in real
30 property shall complete DISCLOSE TO THE BUYER ANY MATERIAL <--
19950H1571B3667 - 4 -
1 DEFECTS WITH THE PROPERTY BY COMPLETING all applicable items in
2 a property disclosure statement prescribed under section 5 and
3 shall deliver to the buyer in accordance with section 6 a signed
4 and dated copy of the completed statement prior to the signing
5 of a written agreement by the seller and prospective buyer that
6 would, subject to the satisfaction of any negotiated
7 contingencies, require the prospective buyer to accept a
8 transfer of the residential real property.
9 Section 5. Disclosure form.
10 The disclosures required by this act pertaining to the
11 property proposed to be transferred are set forth in and shall
12 be made on a form that is substantially similar to the following
13 disclosure form. Nothing in this act shall preclude a seller
14 from including in this form additional provisions which require
15 greater specificity or which call for the disclosure of the
16 condition or existence of other features of the property.
17 SELLER'S PROPERTY DISCLOSURE STATEMENT
18 Property address: .......................................
19 .........................................................
20 Seller: .................................................
21 A seller must disclose to a buyer all known material
22 defects about property being sold that are not readily
23 observable. This disclosure statement is designed to
24 assist the seller in complying with disclosure
25 requirements and to assist the buyer in evaluating the
26 property being considered.
27 This statement discloses the seller's knowledge of
28 the condition of the property as of the date signed by
29 the seller and is not a substitute for any inspections or
30 warranties that the buyer may wish to obtain. This
19950H1571B3667 - 5 -
1 statement is not a warranty of any kind by the seller or
2 a warranty or representation by any listing real estate
3 broker, any selling real estate broker or their agents.
4 The buyer is encouraged to address concerns about the
5 conditions of the property that may not be included in
6 this statement. This statement does not relieve the
7 seller of the obligation to disclose a material defect
8 that may not be addressed on this form.
9 A material defect is a problem with the property
10 or any portion of it that would have a significant
11 adverse impact on the value of the residential real
12 property or that would significantly impair the health <--
13 or safety of the occupants. INVOLVES AN UNREASONABLE <--
14 RISK TO PEOPLE ON THE LAND.
15 (1) Seller's expertise. The seller does not possess
16 expertise in contracting, engineering, architecture
17 or other areas related to the construction and
18 conditions of the property and its improvements,
19 except as follows: ..................................
20 (2) Occupancy. Do you, the seller, currently occupy
21 this property? ..... yes ..... no
22 If "no," when did you last occupy the property? ....
23 (3) Roof.
24 (i) Date roof was installed: ......................
25 Documented? ..... yes ..... no ..... unknown
26 (ii) Has the roof been replaced or repaired during
27 your ownership? ..... yes ..... no
28 If "yes," were the existing shingles removed?
29 ..... yes ..... no ..... unknown
30 (iii) Has the roof ever leaked during your
19950H1571B3667 - 6 -
1 ownership? ..... yes ..... no
2 (iv) Do you know of any problems with the roof,
3 gutters or downspouts? ..... yes ..... no
4 Explain any "yes" answers that you give in this section:
5 .........................................................
6 .........................................................
7 (4) Basements and crawl spaces (Complete only if
8 applicable).
9 (i) Does the property have a sump pump?
10 ..... yes ..... no ..... unknown
11 (ii) Are you aware of any water leakage,
12 accumulation or dampness within the basement or
13 crawl space? ..... yes ..... no
14 If "yes," describe in detail: ...................
15 .................................................
16 (iii) Do you know of any repairs or other attempts
17 to control any water or dampness problem in the
18 basement or crawl space? ..... yes ..... no
19 If "yes," describe the location, extent, date
20 and name of the person who did the repair or
21 control effort: .................................
22 .................................................
23 (5) Termites/wood destroying insects, dry rot, pests.
24 (i) Are you aware of any termites/wood destroying
25 insects, dry rot or pests affecting the
26 property? ..... yes ..... no
27 (ii) Are you aware of any damage to the property
28 caused by termites/wood destroying insects, dry
29 rot or pests? ..... yes ..... no
30 (iii) Is your property currently under contract by
19950H1571B3667 - 7 -
1 a licensed pest control company?
2 ..... yes ..... no
3 (iv) Are you aware of any termite/pest control
4 reports or treatments for the property in the
5 last five years? ..... yes ..... no
6 Explain any "yes" answers that you give in this section:
7 .........................................................
8 .........................................................
9 (6) Structural items.
10 (i) Are you aware of any past or present water
11 leakage in the house or other structures?
12 ..... yes ..... no
13 (ii) Are you aware of any past or present movement,
14 shifting, deterioration or other problems with
15 walls, foundations or other structural
16 components? ..... yes ..... no
17 (iii) Are you aware of any past or present problems
18 with driveways, walkways, patios or retaining
19 walls on the property? ..... yes ..... no
20 Explain any "yes" answers that you give in this section.
21 When explaining efforts to control or repair, please
22 describe the location and extent of the problem and the
23 date and person by whom the work was done, if known:
24 .........................................................
25 .........................................................
26 (7) Additions/remodeling. Have you made any additions,
27 structural changes or other alterations to the
28 property? ..... yes ..... no
29 If "yes," please describe: ..........................
30 .....................................................
19950H1571B3667 - 8 -
1 (8) Water and sewage.
2 (i) What is the source of your drinking water?
3 ..... public ..... community system
4 ..... well on property ..... other
5 If "other," please explain: .........................
6 .....................................................
7 (ii) If your drinking water source is not public:
8 when was your water last tested? ................
9 what was the result of the test? ................
10 Is the pumping system in working order?
11 ..... yes ..... no
12 If "no," please explain: ........................
13 .................................................
14 (iii) Do you have a softener, filter or other
15 purification system? ..... yes ..... no
16 If "yes," is the system: ..... leased ..... owned
17 (iv) What is the type of sewage system?
18 ..... public sewer ..... private sewer
19 ..... septic tank ..... cesspool ..... other
20 If "other," please explain: .....................
21 .................................................
22 (v) Is there a sewage pump? ..... yes ..... no
23 If "yes," is it in working order?
24 ..... yes ..... no
25 (vi) When was the septic system or cesspool last
26 serviced? ......................................
27 (vii) Is either the water or sewage system shared?
28 ..... yes ..... no
29 If "yes," please explain: .......................
30 .................................................
19950H1571B3667 - 9 -
1 (viii) Are you aware of any leaks, backups or other
2 problems relating to any of the plumbing, water
3 and sewage-related items? ..... yes ..... no
4 If "yes," please explain: .......................
5 .................................................
6 (9) Plumbing system.
7 (i) Type of plumbing: ..... copper ..... galvanized
8 ..... lead ..... PVC ..... unknown ..... other
9 If "other," please explain: .....................
10 .................................................
11 (ii) Are you aware of any problems with any of your
12 plumbing fixtures (including, but not limited
13 to: kitchen, laundry or bathroom fixtures, wet
14 bars, hot water heater, etc.)?
15 ..... yes ..... no
16 If "yes," please explain: .......................
17 .................................................
18 (10) Heating and air conditioning.
19 (i) Type of air conditioning: ..... central electric
20 ..... central gas ..... wall ..... none
21 Number of window units included in sale: ........
22 Location: .......................................
23 .................................................
24 (ii) List any areas of the house that are not air
25 conditioned: ....................................
26 .................................................
27 (iii) Type of heating: ..... electric
28 ..... fuel oil ..... natural gas ..... other
29 If "other," please explain: .....................
30 .................................................
19950H1571B3667 - 10 -
1 (iv) List any areas of the house that are not
2 heated: .........................................
3 (v) Type of water heating: ..... electric ..... gas
4 ..... solar ..... other
5 If "other," please explain: .....................
6 .................................................
7 (vi) Are you aware of any underground fuel tanks on
8 the property? ..... yes ..... no
9 If "yes," please describe: ......................
10 .................................................
11 Are you aware of any problems with any item in this
12 section? ..... yes ..... no
13 If "yes," please explain: ...............................
14 .........................................................
15 (11) Electrical system. Are you aware of any problems
16 or repairs needed in the electrical system?
17 ..... yes ..... no
18 If "yes," please explain: ...........................
19 .....................................................
20 (12) Other equipment and appliances included in sale
21 (complete only if applicable).
22 (i) ..... Electric garage door opener
23 Number of transmitters .....
24 (ii) ..... Smoke detectors How many? .....
25 Location: .......................................
26 .................................................
27 (iii) ..... Security alarm system
28 ..... owned ..... leased
29 Lease information: ..............................
30 .................................................
19950H1571B3667 - 11 -
1 (iv) ..... Lawn sprinkler
2 Number ..... Automatic timer .....
3 (v) ..... Swimming pool ..... Pool heater
4 ..... Spa/hot tub
5 List all pool/spa equipment: ...................
6 ................................................
7 (vi) ..... Refrigerator ..... Range
8 ..... Microwave oven ..... Dishwasher
9 ..... Trash compactor ..... Garbage disposal
10 (vii) ..... Washer ..... Dryer
11 (viii) ..... Intercom
12 (ix) ..... Ceiling fans ..... Number
13 Location: .......................................
14 (x) Other: ........................................
15 Are any items in this section in need of repair or
16 replacement? ..... yes ..... no ..... unknown
17 If "yes," please explain: ...............................
18 .........................................................
19 (13) Land (soils, drainage and boundaries).
20 (i) Are you aware of any fill or expansive soil on
21 the property? ..... yes ..... no
22 (ii) Are you aware of any sliding, settling, earth
23 movement, upheaval, subsidence or earth stability
24 problems that have occurred on or that affect the
25 property? ..... yes ..... no
26 NOTE TO BUYER: YOUR PROPERTY MAY BE SUBJECT TO MINE <--
27 SUBSIDENCE DAMAGE. MAPS OF THE COUNTIES AND MINES WHERE
28 MINE SUBSIDENCE DAMAGE MAY OCCUR AND MINE SUBSIDENCE
29 INSURANCE ARE AVAILABLE THROUGH:
30 DEPARTMENT OF ENVIRONMENTAL PROTECTION
19950H1571B3667 - 12 -
1 MINE SUBSIDENCE INSURANCE FUND
2 3913 WASHINGTON ROAD
3 MCMURRAY, PA 15317
4 412-941-7100
5 (iii) Are you aware of any existing or proposed
6 mining, strip mining or any other excavations
7 that might affect this property?
8 ..... yes ..... no
9 (iv) To your knowledge, is this property, or part of
10 it, located in a flood zone or wetlands area?
11 ..... yes ..... no
12 (v) Do you know of any past or present drainage or
13 flooding problems affecting the property?
14 ..... yes ..... no
15 (vi) Do you know of any encroachments, boundary
16 line disputes or easements? ..... yes ..... no
17 NOTE TO BUYER: Most properties have easements
18 running across them for utility services and
19 other reasons. In many cases, the easements do
20 not restrict the ordinary use of the property,
21 and the seller may not be readily aware of them.
22 Buyers may wish to determine the existence of
23 easements and restrictions by examining the
24 property and ordering an abstract of title or
25 searching the records in the Office of the
26 Recorder of Deeds for the county before entering
27 into an agreement of sale.
28 (vii) Are you aware of any shared or common areas
29 (for example, driveways, bridges, docks, walls,
30 etc.) or maintenance agreements?
19950H1571B3667 - 13 -
1 ..... yes ..... no
2 Explain any "yes" answers that you give in this section:
3 .........................................................
4 .........................................................
5 (14) Hazardous substances.
6 (i) Are you aware of any underground tanks or
7 hazardous substances present on the property
8 (structure or soil), including, but not limited
9 to, asbestos, polychlorinated biphenyls (PCBs),
10 radon, lead paint, urea-formaldehyde foam
11 insulation (UFFI), etc.? ..... yes ..... no
12 (ii) To your knowledge, has the property been tested
13 for any hazardous substances? ..... yes ..... no
14 (iii) Do you know of any other environmental
15 concerns that might impact upon the property?
16 ..... yes ..... no
17 Explain any "yes" answers that you give in this section:
18 .........................................................
19 .........................................................
20 (15) Condominiums and other homeowners associations
21 (complete only if applicable).
22 (i) Type: ..... condominium* ..... cooperative
23 ..... homeowners association ..... other
24 If "other," please explain: .....................
25 .................................................
26 (ii) Are you aware of any defect, damage or problem
27 with any common element or common area that
28 materially affects the property?
29 ..... yes ..... no
30 (iii) Are you aware of any condition or claim which
19950H1571B3667 - 14 -
1 may result in an increase in assessments or fees?
2 ..... yes ..... no
3 Explain any "yes" answers that you give in this section:
4 .........................................................
5 .........................................................
6 * NOTICE REGARDING CONDOMINIUMS: According to section
7 3407 of the Uniform Condominium Act (68 Pa.C.S. § 3407
8 (relating to resales of units)), a buyer of a resale unit
9 in a condominium must receive a certificate of resale
10 issued by the condominium association. The buyer will
11 have the option of canceling the agreement with return of
12 all deposit moneys for five days after the certificate is
13 received.
14 (16) Miscellaneous.
15 (i) Are you aware of any existing or threatened
16 legal action affecting the property?
17 ..... yes ..... no
18 (ii) Do you know of any violations of Federal, State
19 or local laws or regulations relating to this
20 property? ..... yes ..... no
21 (iii) Are you aware of any public improvement,
22 condominium or homeowner association assessments
23 against the property that remain unpaid or of any
24 violations of zoning, housing, building, safety
25 or fire ordinances that remain uncorrected?
26 ..... yes ..... no
27 (iv) Are you aware of any judgment, encumbrance,
28 lien (for example, comaker or equity loan) or
29 other debt against this property that cannot be
30 satisfied by the proceeds of this sale?
19950H1571B3667 - 15 -
1 ..... yes ..... no
2 (v) Are you aware of any reason, including a defect
3 in title, that would prevent you from giving a
4 warranty deed or conveying title to the property?
5 ..... yes ..... no
6 (vi) Are you aware of any material defects to the
7 property, dwelling or fixtures which are not
8 disclosed elsewhere on this form?
9 ..... yes ..... no
10 A material defect is a problem with the property
11 or any portion of it that would have a significant
12 adverse impact on the value of the residential
13 real property or that would significantly <--
14 impair the health or safety of the occupants.
15 INVOLVES AN UNREASONABLE RISK. <--
16 Explain any "yes" answers that you give in
17 this section:
18 .........................................................
19 .........................................................
20 The undersigned seller represents that the
21 information set forth in this disclosure statement is
22 accurate and complete to the best of the seller's
23 knowledge. The seller hereby authorizes any agent for the
24 seller to provide this information to prospective buyers
25 of the property and to other real estate agents. The
26 seller alone is responsible for the accuracy of the
27 information contained in this statement. The seller shall
28 cause the buyer to be notified in writing of any
29 information supplied on this form which is rendered
30 inaccurate by a change in the condition of the property
19950H1571B3667 - 16 -
1 following the completion of this form.
2 SELLER .............................. DATE ..............
3 SELLER .............................. DATE ..............
4 SELLER .............................. DATE ..............
5 .........................................................
6 EXECUTOR, ADMINISTRATOR, TRUSTEE, SELLER <--
7 The undersigned has never occupied the property and
8 lacks the personal knowledge necessary to complete this
9 disclosure statement.
10 .........................................................
11 .........................................................
12 ..................................... DATE ..............
13 .........................................................
14 .........................................................
15 RECEIPT AND ACKNOWLEDGMENT BY BUYER
16 The undersigned buyer acknowledges receipt of this
17 disclosure statement. The buyer acknowledges that this
18 statement is not a warranty and that, unless stated
19 otherwise in the sales contract, the buyer is purchasing
20 this property in its present condition. It is the buyer's
21 responsibility to satisfy himself or herself as to the
22 condition of the property. The buyer may request that
23 the property be inspected, at the buyer's expense and by
24 qualified professionals, to determine the condition of
25 the structure or its components.
26 BUYER ............................... DATE ..............
27 BUYER ............................... DATE ..............
28 BUYER ............................... DATE ..............
29 Section 6. Delivery of disclosure form.
30 (a) Method of delivery.--The seller's delivery of the
19950H1571B3667 - 17 -
1 property disclosure statement to the buyer as prescribed by this
2 act shall be by personal delivery; ordinary mail; certified
3 mail, return receipt requested; or facsimile transmission to the
4 buyer or the buyer's agent.
5 (b) Parties to whom delivered.--For purposes of this act,
6 delivery to one prospective buyer or buyer's agent is deemed
7 delivery to all persons intending to take title as cotenants,
8 joint tenants or as a tenant by the entireties with the buyer.
9 Receipt may be acknowledged on the statement, in an agreement
10 for the conveyance of the residential real property or shown in
11 any other verifiable manner.
12 Section 7. Information unavailable to seller.
13 If at the time the disclosures are required to be made, an
14 item of information required to be disclosed is unknown or not
15 available to the seller and the seller has made an effort to
16 ascertain it, the seller may make a disclosure based on the best
17 information available to the seller, provided it is identified
18 as a disclosure based on an incomplete factual basis.
19 Section 8. Information subsequently rendered inaccurate.
20 If information disclosed in accordance with this act is
21 subsequently rendered inaccurate as a result of any act,
22 occurrence or agreement subsequent to the delivery of the
23 required disclosures, the inaccuracy resulting therefrom does <--
24 not constitute a violation of this act. THE SELLER SHALL NOTIFY <--
25 THE BUYER OF THE INACCURACY.
26 Section 9. Affirmative duty of seller.
27 The seller is not obligated by this act to make any specific
28 investigation or inquiry in an effort to complete the disclosure
29 statement. In completing the disclosure statement, the seller
30 shall not make any representations which he or his agent know or
19950H1571B3667 - 18 -
1 have reason to know are false, deceptive or misleading, and
2 shall not fail to disclose a known material defect.
3 Section 10. Nonliability of seller.
4 (a) General rule.--A seller shall not be liable for any
5 error, inaccuracy or omission of any information delivered
6 pursuant to this act if:
7 (1) the seller had no knowledge of the error, inaccuracy
8 or omission;
9 (2) the error, inaccuracy or omission was based on a
10 reasonable belief that a material defect or other matter not
11 disclosed had been corrected; or
12 (3) the error, inaccuracy or omission was based on
13 information provided by a public agency, licensed engineer,
14 land surveyor, structural pest control inspector, home
15 inspector or contractor about matters within the scope of the
16 contractor's occupation and the seller had no knowledge of
17 the error, inaccuracy or omission.
18 (b) Delivery of information by public agency.--The delivery
19 of any information required to be disclosed by this act to a
20 prospective buyer by a public agency or other person providing
21 information required to be disclosed under this act shall be
22 deemed to comply with the requirements of this act and shall
23 relieve the seller or his agent of any further duty under this
24 act with respect to that item of information.
25 (c) Report by expert.--The delivery of a report or opinion
26 prepared by a licensed engineer, land surveyor, geologist,
27 structural pest control operator, contractor or other expert
28 dealing with matters within the scope of the professional's
29 license or expertise shall be sufficient compliance for
30 application of the exemption provided under subsection (a)(3) if
19950H1571B3667 - 19 -
1 the information is provided to the prospective buyer in writing.
2 Section 11. Nonliability of agent.
3 An agent of a seller or a buyer shall not be liable for any
4 violation of this act unless the agent had actual knowledge of a
5 material defect which was not disclosed to the buyers or of any
6 misrepresentation relating to a material defect.
7 Section 12. Failure to comply.
8 A transfer subject to this act shall not be invalidated
9 solely because of the failure of any person to comply with any
10 provision of this act. However, any person who willfully or
11 negligently violates or fails to perform any duty prescribed by
12 any provision of this act shall be liable in the amount of
13 actual damages suffered by a buyer as a result of a violation of
14 this act. A court may require a person found to have willfully <--
15 violated this act to pay the reasonable attorney fees and court
16 costs of a buyer who has suffered damages as a result of a
17 violation of this act. This section shall not be construed as to
18 restrict or expand the authority of a court to impose punitive
19 damages or apply other remedies applicable under other
20 provisions of law. If a seller fails to disclose a material <--
21 defect known to the seller at or before the delivery of the
22 required disclosures, and the defect is not readily observable,
23 the buyer may rescind the contract prior to final settlement. An
24 PROVISIONS OF LAW. AN action for damages as a result of a <--
25 violation of this act must be commenced within two years from
26 the date of final settlement.
27 Section 13. Amendment of disclosure.
28 Any disclosure made pursuant to this act may be amended in
29 writing by the seller prior to the signing of a written
30 agreement by the seller and buyer that would, subject to the
19950H1571B3667 - 20 -
1 satisfaction of any negotiated contingencies, require the
2 prospective buyer to accept a transfer of the residential real
3 property.
4 Section 14. Specification of items for disclosure no limitation
5 on other disclosure obligations.
6 (a) General rule.--The specification of items for disclosure
7 in this act does not limit or abridge any obligation for
8 disclosure created by any other provision of law or which may
9 exist in order to avoid fraud, misrepresentation or deceit in
10 the transfer transaction.
11 (b) Responsibility of licensee.--Nothing in this act shall
12 abrogate or diminish the responsibility of a licensee under the
13 act of February 19, 1980 (P.L.15, No.9), known as the Real
14 Estate Licensing and Registration Act.
15 (c) Duty to provide form.--An agent representing a seller
16 must advise a seller of the seller's responsibilities under this
17 act and must provide the seller with a copy of the disclosure
18 form.
19 Section 15. Cause of action.
20 A buyer shall not have a cause of action against any seller
21 or agent for the seller or buyer for:
22 (1) material defects to the property disclosed to the
23 buyer prior to the signing of a written agreement by the
24 seller and buyer that would, subject to the satisfaction of
25 any negotiated contingencies, require the prospective buyer
26 to accept a transfer of the residential real property;
27 (2) material defects which have developed after the
28 signing of the written agreement by the seller and
29 prospective buyer that, subject to satisfaction of any
30 negotiated contingencies, require the prospective buyer to
19950H1571B3667 - 21 -
1 accept a transfer of the residential real property, provided
2 the seller has complied with the terms of the written
3 agreement; or
4 (3) material defects which occur after final settlement.
5 SECTION 16. RULES AND REGULATIONS. <--
6 THE REAL ESTATE COMMISSION SHALL HAVE THE POWER BY REGULATION
7 TO MAKE AMENDMENTS, ADDITIONS AND DELETIONS TO THE DISCLOSURE
8 FORM PRESCRIBED UNDER SECTION 5.
9 Section 16 17. Effective date. <--
10 This act shall take effect in 60 days.
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