We were going over the new Offer to Purchase and Contract promulgated by the NC Real Estate Commission. This is the standard contract for residential sales.
I was surprised to read the following:
Paragraph 8,
(a)Seller agrees to use best efforts to deliver to Buyer as soon as reasonably possible after the Effective Date, copies of all title information in possession of or available to Seller, including but not limited to: title insurance policies, attorney’s opinions on title, surveys, covenants, deeds, notes and deeds of trust and easements relating to the Property. Seller authorizes (1) any attorney presently or previously representing Seller to release and disclose any title insurance policy in such attorney's file to Buyer and both Buyer's and Seller's agents and attorneys; and (2) the Property’s title insurer or its agent to release and disclose all materials in the Property's title insurer's (or title insurer's agent's) file to Buyer and both Buyer's and Seller's agents and attorneys.
It seems that this contract requiresthe seller to pass along my work to a potential buyer thus extending my liability without compensation and could serve to discourage a buyer from obtaining a new survey.
Thoughts?
Under the same premise that we cannot limit our liability or the purpose of our certification, another parties contract will not extend our liability to our client to a third party.
I would think that this clause is for the purpose of the seller to give all those materials to the buyer in order to offer evidence that they are not withholding any known facts of the property and not showing that on the most recent transaction.
😉
