Robert is a licensed Missouri salesperson representing the seller of a home in Springfield. The seller's disclosure statement was completed and delivered to the buyer before the contract was signed. After the contract was executed, the seller discovers that the HVAC system has a significant defect that was not known at the time of disclosure. Under Missouri law, which of the following best describes the seller's and licensee's obligations?
Correct Answer
B) The seller must amend the disclosure statement to reflect the newly discovered defect, and Robert must ensure the amendment is delivered to the buyer.
Under the Missouri Seller Disclosure Act (RSMo § 339.730 et seq.), if the seller discovers a material defect after the disclosure statement has been delivered but before closing, the seller has a duty to amend the disclosure statement to reflect the newly discovered condition. The licensee, Robert, has an obligation to ensure that the amended disclosure is properly delivered to the buyer. This ongoing duty prevents the original disclosure from being used to shield sellers from liability for conditions that become known during the transaction.
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Related Topics & Key Terms
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Related Concepts
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.
HOA disclosure requires informing buyers about the existence, rules, fees, financial health, and restrictions of a homeowners association governing the property. This information helps buyers understand their obligations before purchase.
The Lead-Based Paint Disclosure is a federally mandated disclosure required for all residential properties built before 1978. Sellers and landlords must disclose known lead-based paint hazards and provide the EPA pamphlet "Protect Your Family From Lead in Your Home."
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