Sandra is purchasing a home in Iowa City. The seller, Tom, fails to provide the Residential Property Seller Disclosure Statement before Sandra signs the purchase agreement. Sandra later discovers this omission. Under Iowa Code Chapter 558A, what is Sandra's primary remedy for Tom's failure to timely provide the required disclosure?
Correct Answer
D) Sandra may rescind the purchase agreement and recover any deposits she has paid
Iowa Code Chapter 558A provides that if the seller fails to deliver the required Residential Property Seller Disclosure Statement before or at the time the purchase agreement is signed, the buyer has the right to rescind the purchase agreement. Upon rescission, Sandra would be entitled to recover any deposits or earnest money she paid. This rescission right is the statutory remedy specifically created by Chapter 558A to protect buyers who do not receive timely disclosure.
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