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4/26/2017
Strike Out Paragraph 7d of the One to Four Family Residential Contract for Sale (Resale) TREC Form 20-13


 STRIKE OUT THE "AS IS" LANGUAGE IN THE ONE TO

FOUR FAMILY RESIDENTIAL CONTRACT FOR SALE, TREC FORM 20-13

The TREC Form 20-13 is a form contract or what is called a boilerplate contract. All the terms are included and usually not negotiable. However, you are not bound to use all of the paragraphs or subparts of the One to Four Family Residential Contract for Sale. The clause that contains the "as is" language is in Paragraph 7d. It states as follows:

D. ACCEPTANCE OF PROPERTY CONDITION: “As Is” means the present condition of the Property
with any and all defects and without warranty except for the warranties of title and the
warranties in this contract. Buyer’s agreement to accept the Property As Is under Paragraph
7D(1) or (2) does not preclude Buyer from inspecting the Property under Paragraph 7A, from
negotiating repairs or treatments in a subsequent amendment, or from terminating this
contract during the Option Period, if any.
(Check one box only)
? (1) Buyer accepts the Property As Is.
? (2) Buyer accepts the Property As Is provided Seller, at Seller’s expense, shall complete the
following specific repairs and treatments:
.
(Do not insert general phrases, such as “subject to inspections” that do not identify
specific repairs and treatments.)

As the buyer, you can strike out the entire paragraph. That eliminates any of the language of 7d regarding the "as is" language from the contract.

You can also ignore the check boxes. This should preclude any claims by anyone after the sale that the "as is" language applies. But the strike out is much better.

Naturally, the real estate agents involved in your contract will doubtless advise you that you can not do this. They are wrong. You absolutely can strike out that or any other portion of the contract. The seller can reject your offer because of your strike out or your disregard of 7d. If that happens, it only proves that the term is not negotiated freely. However, it might be fuel for arguing your acceptance. Hopefully, this clause never becomes an issue for you after closing. The unfortunate result is that it only becomes relevant if you discover that the seller failed to make truthful or complete representations about the house.





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"AS IS" Again, and Again

4/25/2017
As Is in a form contract probably has no effect
   
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Evin G. Dugas - Attorney at Law 512.261.0044 Evin@housedefects.com
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