A seller in a Mello-Roos district in California fails to provide the required written Mello-Roos disclosure to the buyer before closing. After closing, the buyer discovers the $3,800 annual Mello-Roos tax. Under California law, what is the buyer's potential remedy?
Correct Answer
B) The buyer may rescind the transaction or seek damages for the seller's failure to provide the required written disclosure
Under Cal. Civil Code §1102.6b, the seller is required to provide written disclosure of the Mello-Roos special tax. Failure to provide this disclosure gives the buyer potential remedies including rescission (if available) or damages for the undisclosed financial obligation.
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Related Topics & Key Terms
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Violating fair housing laws can lead to significant penalties, including fines, civil liability, and professional discipline.
Death on property disclosure addresses whether sellers must inform buyers about deaths that occurred on the property, including natural deaths, suicides, and murders. Requirements vary significantly by state.
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- → A California buyer's agent conducts a visual inspection of a property and observes extensive, recently applied caulking around all window frames and along the base of the exterior walls. What is the buyer's agent's most appropriate next step?
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