Federal law states that a buyer cannot be obligated to purchase a home built before 1978 unless (1) the seller has delivered to the buyer the pamphlet “Protect Your Family From Lead in Your Home” and (2) the seller has disclosed to the buyer (the buyer’s agent) all information, records, and reports seller has regarding known paint hazards. Federal law also requires that any contract to buy a home built before 1978 must include a Lead Warning Statement. These requirements are met by providing the pamphlet and using the OREF 021 – Lead-Based Paint Disclosure.
The “Lead-based Paint Contingency Period” section of the OREF 001 – Residential Real Estate Sale Agreement requires the Seller to deliver the OREF 021 Lead-Based Paint Disclosure. Because providing the form is required under Federal law, failure to provide it is a failure to complete the transaction “in accordance with the material terms” of the Sale Agreement as provided in the “Earnest Money Deposit Instructions to Escrow” section of the Sale Agreement, entitling the buyer to terminate the Sale Agreement and obtain a refund of the earnest money.
For more information from the EPA, visit https://www.epa.gov/lead/real-estate-disclosures-about-potential-lead-hazards.
Of course, you will always want to check with your principal broker or legal counsel to ensure that you are following any policy requirements of your brokerage
All comments and responses from OREF or its staff, managers, and volunteers are non-legal opinions made for general purposes. Each Forms subscriber must rely solely upon their Principal broker or personal legal counsel for specific advice and instruction. You and your client should independently confirm that the Form(s) you use are legally suitable for the purposes intended and that they are current with respect to all laws and regulations.