A Florida licensee prepares an 'as-is' contract for a residential property. During the inspection period, the buyer discovers extensive termite damage not previously disclosed. The seller knew about the damage but didn't disclose it, believing the 'as-is' clause protected them. Under Florida law, what is the buyer's best recourse?
Correct Answer
B) Can void the contract based on fraudulent concealment
Correct: B - Under Johnson v. Davis and Florida law, 'as-is' clauses don't protect sellers from liability for fraudulent concealment of known material defects. The buyer can void the contract. Why not A: 'As-is' doesn't shield fraud. Why not C: The buyer isn't required to close and then sue. Why not D: The buyer has stronger remedies than just negotiation.
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Previous Question
Under Florida law, which of the following does NOT make a real estate contract void?
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A buyer submits an offer on a Florida property using the FAR/BAR contract with a closing date of March 15. The seller counteroffers with a closing date of March 30. The buyer verbally accepts the counteroffer on February 1 but doesn't sign and return it until February 5. The seller sold to another buyer on February 3. What is the legal outcome?