On March 11, 2024, Ellia Thompson published “In the Market for Real Estate? Buyer Beware!” in the Los Angeles Business Journal. The following is an excerpt:
In the world of real estate law, much is made of the legal disclaimer “caveat emptor,” the Latin phrase meaning “let the buyer beware.” In many jurisdictions, this legal standard places the responsibility on potential buyers for conducting their own due diligence for a real estate acquisition. Sellers rarely are responsible for problems that the buyer(s) encounters once the sale is complete so long as they did not fail to disclose a material fact or make a fraudulent misrepresentation.
In most standard real estate transactions, a due diligence period follows the signing of the purchase and sale agreement, which allows a reasonable amount of time for a buyer to research the property’s history, schedule experts to come to the site, inspect all aspects of the property and prepare written reports.
Click here to access the article.