Under the Illinois Residential Real Property Disclosure Act, a buyer receives the disclosure report for the first time after all parties have already signed the contract. What remedy does the buyer have?
Correct Answer
B) The buyer may terminate the contract within 5 business days after receiving the late report and recover any earnest money or down payment paid.
Under 765 ILCS 77/55, when a disclosure report is delivered after contract execution, the buyer has a 5-business-day window from receipt to terminate the contract and recover earnest money or down payments. This provision exists specifically to protect buyers who did not receive the disclosure before signing.
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Related Topics & Key Terms
Key Terms:
Related Concepts
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.
Environmental hazards disclosure involves informing buyers about environmental contamination or hazards affecting or potentially affecting a property, including underground storage tanks, contaminated soil, hazardous waste, and proximity to Superfund sites.
Flood zone disclosure requires informing buyers whether a property is located in a designated flood zone as mapped by FEMA. Properties in high-risk flood zones may require mandatory flood insurance.
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