As shared at the legal luncheon today (with a few edits) below are proposed contract changes.
- Exclusive Right to Sell (click for full marked version)
- Paragraph 3 strikes reference to a sub-agency because it is so rare now, and any agent use the separate (and required) sub-agency consent addendum provided in your forms, if desired.
- Paragraph 6 D removes specifications where listing data may be used and instead makes it wherever deemed appropriate by the Broker. Additionally, in the rare instances were seller does not want the physical property address to be included in online advertising, that can be specified in the special conditions.
- Paragraph 7 K is strictly to align our language with the actual lead paint form and change to paragraph 7G adds a new disclosure by the seller indicating if the home or property has any surveillance equipment. This will enable the broker to make proper disclosures according to a very strict Massachusetts general law that prohibits recording or streaming of audio without clear notice and consent.
- Paragraph 12 E simply changes the language to indicate electronically signed and delivered documents carry the same weight as traditional paper documents and no longer specifies fax, email or PDF since those are limited compared to today’s technology standards.
- Purchase and Sale Agreement (click for full marked version)
- Paragraph 3 strikes “cash” since it cannot be used to deliver funds at closing.
- Paragraph 5 has added an option for a cash offer and has also re-ordered the contingency dates to more closely follow the typical cycle of a purchase transaction
- Paragraph 8 adds “building code compliance” as a inspection that can be performed by the buyer during the inspection period (which will go with the change in para 24).
- Paragraph 13 specifies appliances instead of fixtures, since personal property beyond appliances should be included on a separate bill of sale, available in the forms. Additionally we’ve changed the word “rented” to “not owned” for items such as solar panels and propane tanks.
- Paragraph 24E has been stricken because the wording was vague for the attorneys to have to determine if Certificate of Occupancy was needed and new construction warranties and such are typically a separate builder package or negotiated item
A comment period will be open for 1 week, so please SHARE your FEEDBACK, if you have any, before June 7th. After that, we will pay our forms providers to upload and code these new documents for use. Please also note that these changes will spur a few other changes as well:
- New Surveillance Notice Flyer will be made available and a new field in the MLS will be Is property equipped with surveillance equipment? Yes / No
- The New Short Term Rental Disclosure for Buyers is available now
- MAR’s wire Fraud Advisory is available now on Ziplogix under MAR forms