STANDARD LETTER OF FINDING INSPECTION AGREEMENT
THIS IS INTENDED TO BE A LEGALLY BINDING CONTRACT, PLEASE READ IT CAREFULLY
SCOPE OF THE INSPECTION:
The limited real estate inspection to be performed for you (hereinafter described as Client) is a survey and basic operation of the systems and components of a building which can be reached, entered, or viewed without difficulty, moving obstructions, or requiring any action which may result in damage to the property or personal injury to Patrick J. Burger (hereinafter described as the Inspector), ONLY as such survey/inspection relates to the specific investigation the Inspector has been retained to perform. (e.g. Foundation issues, water intrusion issues, causes of wall cracks, etc.- please note specific concerns in the Comments section below). The purpose of this inspection is to provide the client with information regarding the specific condition of concern, and the Inspector will provide probable cause(s), consequential damages if applicable, and remediation efforts that may be required, as well as a general cost estimate to effect any prescribed repairs - for the specific item(w) of concern.
Inspector will prepare and provide Client a written Letter Of Finding, for the sole use and benefit of Client. The written Letter Of Finding provides documentation of the specific deficiency or deficiencies relating solely to the item(s) of concern. This is NOT a comprehensive building inspection of all the components of the structure, and is not intended or meant to be construed as a complete home inspection.
The inspection shall be performed in accordance with the Commercial Standards of Practice of the California Real Estate Inspection Association (CREIA), attached hereto, and incorporated herein by reference, and is limited to those items specified therein, and only as they may relate to the issue at hand - i.e. - the specific items of concern which the client has expressed in the Comment section below.
CLIENT'S DUTY:
Client understands and accepts that an inspection and report in accordance with this Agreement is intended to reduce, but can not eliminate, the uncertainty regarding the condition of the building. Client agrees to exercise reasonable care in considering all facts that are known to or are within the diligent attention of Client in determining the condition of the building.
Client agrees to read the entire written report when it is received and promptly call Inspector with any questions or concerns regarding the inspection or the written report. The written report shall be the final and exclusive findings of Inspector.
Client acknowledges that further investigation of a reported condition by an appropriate specialist may provide additional information which can significantly affect the Client's decision. Client agrees to obtain further evaluation of reported conditions prior to the close of the transaction or transfer of title.
In the event Client becomes aware of a reportable condition which was not reported by Inspector, Client agrees to promptly notify Inspector and allow Inspector and/or Inspector's designated representative(s) to inspect said condition(s) prior to making any repair, alteration, or replacement. Client acknowledges and agrees that failure to comply with this clause is a material breach of this Agreement.
ENVIRONMENTAL CONDITIONS:
Client agrees what is being contracted for is a building inspection and not an environmental evaluation. The inspection is not intended to detect, identify, or disclose any health or environmental conditions regarding this building or property, including, but not limited to: the presence of asbestos, radon, lead, urea-formaldehyde, fungi, molds, mildew, PCBs, or other toxic, reactive, combustible, or corrosive contaminants, materials, or substances in or on the water, air, soil, or building materials. The Inspector is not liable for injury, health risks, or damage caused or contributed to by these conditions.
GENERAL PROVISIONS:
The written report is not a substitute for any transferors' or agent's disclosure that may be required by law, or a substitute for Client's independent duty to reasonably evaluate the property prior to the close of the transaction. This inspection Agreement, the real estate inspection, and the written report do not constitute a warranty, guarantee, or insurance policy of any kind whatsoever.
No legal action of any kind, including those sounding in tort or contract, can be commenced against Inspector/Inspection Company or its officers, agents, or employees more than one year from the date Client discovers, or through the exercise of reasonable diligence should have discovered, the cause of action. In no event shall the time for commencement of a legal action or proceeding exceed two years from the date of the subject inspection. THIS TIME PERIOD IS SHORTER THAN OTHERWISE PROVIDED BY LAW. This Agreement shall be binding upon and inure to the benefit of the parties hereto and their heirs, successors, and assigns. This Agreement constitutes the entire integrated agreement between the parties hereto pertaining to the subject matter hereof and may be modified only by a written agreement signed by all the parties hereto. No oral agreements, understandings, or representations shall change, modify, or amend any part of this Agreement. Each party signing this Agreement (the Inspector is 'signing' this Agreement by offering this Agreement online, for the Clients 'signature'; and the Client is 'signing' this Agreement - after careful review - by accepting the Agreement by clicking on the Agreed To & Submit button at the bottom of this Agreement) warrants and represents that he/she has the full capacity and authority to execute this Agreement on behalf of the named/indicated party (Inspector/Client). If this Agreement is executed on behalf of the Client by any third party, the person executing this Agreement expressly represents to Inspector that he/she has the full and complete authority to execute this Agreement on Client's behalf and to fully and completely bind Client to all of the terms, conditions, limitations, exceptions, and exclusions of this Agreement.
LIMIT OF LIABILITY:
Since the cost of any potential damages cannot be predicted, and as a condition of the reduced inspection cost (limited visual inspection), our liability shall in no case exceed five (5) times the inspection fee. You accept this amount as total liquidated damages regarding any action.
SEVERABILITY:
Should any provision of this Agreement be held by a court of competent jurisdiction to be either invalid or unenforceable, the remaining provisions of this Agreement shall remain in full force and effect, unimpaired by the courts' holding.
MEDIATION:
The parties to this Agreement agree to attend, in good faith, mediation with a retired judge or lawyer with at least 5 years of mediation experience before any lawsuit is filed. All notices of mediation must be served in writing by return receipt requested allowing 30 days for response. If no response is forthcoming the moving party may then demand binding arbitration under the terms and provisions set forth below.
ARBITRATION:
Any dispute concerning the interpretation or enforcement of this Agreement, the inspection, the inspection report, or any other dispute arising out of this relationship, shall be resolved between the parties by binding arbitration conducted in accordance with California Law, except that the parties shall select an arbitrator who is familiar with the real estate profession. The parties agree that they shall be entitled to discovery procedures within the discretion of the arbitrator. The arbitrator shall manage and hear the case applying the laws of the State of California to all issues submitted in the arbitration proceeding. The award of the arbitrator shall be final, and a judgment may be entered on it by any court having jurisdiction. Any disputes are to be arbitrated by: Construction Dispute Resolution Services, LLC
A LETTER OF FINDINGS Please read the following TERMS and CONDITIONS carefully
A letter of findings (LOF) addresses a specific issue,or a group of related specific issues. My typical Letter Of Finding will address one topic - e.g. - such as a foundation problem. It will of course cover any items relating to the primary foundation problem (cracks/settlement issue/failure). Causes, remediation, consequential damages, extent of deficiency, etc. are all part of the LOF. It should be noted that while a LOF typically does identify the problem(s) and cause(s), that is not always the case. In some instances, there may be other steps required to be taken before a definitive answer to the original problem can be put forth. In the case of some construction deficiencies, a LOF may be the first step required, to understand what the problem is, and what steps may be necessary to correct the problem.
There is no guarantee that one site visit, and/or an initial investigative effort will settle the issue of identifying the problem, and determining it's cause(s) and it's solution. While in almost all cases this is in fact the result of my initial inspection, whereby I am able to pinpoint the problem, identify it's cause and prescribe an appropriate remedial effort, it must be understood - that is not always the case - and subsequent recommendations and efforts are required to clearly and unequivicably identify the issue at hand, in order to provide the appropriate remdiation efforts required.
There is no guarantee that one site visit, and/or an initial investigative effort will settle the issue of identifying the problem, and determining it's cause(s) and it's solution. While in almost all cases this is in fact the result of my initial inspection, whereby I am able to pinpoint the problem, identify it's cause and prescribe an appropriate remedial effort, it must be understood - that is not always the case - and subsequent recommendations and efforts are required to clearly and unequivicably identify the issue at hand, in order to provide the appropriate remdiation efforts required.