Pre-inspection agreement practice questions

An offer promises to act, or to hold back from acting, at some later time and on stated conditions. A $350 fee posted for houses of 2,000 square feet or less is the manual's example. A counteroffer is an attempted acceptance that changes the terms of that offer.

Acceptance takes the offer exactly as offered, and it may come through an act or be read from conduct. A reply that changes a term is a counteroffer rather than an acceptance. Posting a fee is the offer itself, and it accepts nothing.

The surest way to show mutual assent is for both parties to sign the written contract, though conduct may also establish it. Emailing a contract presents terms, and it does not show that both sides agreed to them. A signed contract is still the goal, because an unsigned one may not be enforceable.

An insured home inspector can lose no more than the policy limit together with the deductible. The policy limit alone understates the exposure, because the deductible usually falls due at filing and often is not refunded.

Some states require the contract to show the inspecting home inspector's name and license number. The inspection company's full legal name belongs on it too. Policy limits and bond amounts do not appear on the manual's list of contract contents.

Signing for an LLC means adding the title Member after the name, and signing for a corporation means adding President. The title shows the signature was made for the company. Leaving it off could leave the home inspector personally liable for damages.

The list covers raising concerns from the seller's disclosure, reading the full report and acting on its recommendations within the due diligence period, calling the home inspector after missing the inspection, walking through once the seller's belongings are removed, and securing permission for entry. Repair estimates do not appear on it. Assigning such tasks to the client can weaken several common claims.

Where state law allows, the time limitation starts on the inspection date, whenever the claimed error or omission comes to light. Starting the clock at discovery could leave the home inspector liable, perhaps forever, for findings made long after the inspection. A one year limit is common, and some jurisdictions set the time by law.

A mediator helps the parties work toward a voluntary settlement and decides nothing. When no settlement comes, the mediation ends. A binding decision that a court order can enforce comes from arbitration, where the arbitrator weighs the evidence from both parties.

A clause can be made conspicuous with a larger type font or by setting it inside a box, and having the client initial it may also help. Such a clause may be harder to enforce against a client in some situations, adhesion contracts among them. A clause sent after the inspection invites that adhesion problem.