January 31st, 2022 at 1:23 pm
One of our amazing agents (see credit below!) found what is hopefully just a temporary C.A.R. oversight in the RR form. The RR form used to say in the “Seller Response” section that the seller agrees to the buyer’s requests if, among other things, the buyer releases both the “Seller and Brokers” from any liability regarding the disclosed condition of the property. After the RR form was revised in December 2021, it now only requires the buyer to release the Seller from liability, and not the Brokers anymore (see paragraph 4B on page 2 of the RR).
Yet, C.A.R.’s standard-form RRRR, which was also revised in December 2021, still says that the seller agrees to do the listed items if the buyer releases both the “Seller and Brokers” from any liability regarding the disclosed condition of the property. The RRRR form can be used interchangeably with the “Seller Response” section of the RR form.
Our company and our agents want the protection of a buyer’s release that includes us as the brokerage. So try your best to use the RRRR, not RR, for the parties’ final repair agreement. Of course, as the buyer’s agent, sometimes you may not be able to insist that the seller issues an RRRR, but when you can, opt for the RRRR over the RR at least for the time being.
I have asked C.A.R. to correct what appears to be an oversight in their RR form. Be advised that they might make a silent revision to fix this problem at any time with no advance notice to us.
-Thank you to Rim Bayaa of the David Offer Team (Brentwood Office) for alerting us about this issue and for suggesting this week’s legal tip!
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