Sean M. Shultz, Esquire
July 10th, 2018
“As is” to most of us means there it is, take it or leave it. We rely on the buyer examining the property and making his or her own independent decision to purchase. Well, this is not necessarily true in Pennsylvania.
The Superior Court recently held that a seller was liable to a buyer for the repair costs involved in fixing defects to a residential house[1]. The buyer had leased the property in Dauphin County for six months prior to purchasing it. The Agreement of Sale between the seller and the buyer contained a clause which provided that the buyer had personally inspected the property or had caused it to be inspected in a manner satisfactory to him. The buyer further acknowledged he was purchasing the property “as is” and that the property was in “satisfactory condition and repair.” Additionally, the provisions provided that the buyer waived all implied warranties and was given no express warranties. The seller had not provided the buyer with a disclosure statement in compliance with the Real Estate Seller Disclosure Law (RESDL)[2].
RESDL requires that in all residential sales the seller disclose to the buyer any material defects with the property known to the seller by completing a Seller’s Property Disclosure Statement which includes certain items. The Superior Court held that the affirmative requirement of RESDL could not be over come by a provision stating that the property was being sold “as is” in the agreement of sale.
[1] Phelps v. Caperoon, 2018 Pa Super 171 (2018).
[2] 68 Pa C.S. § 7301-7315.
