NWMLS Makes Some Good Changes On The Forms!
By Courtney Cooper, Designated Broker, Cooper Jacobs Real Estate LLC
The NWMLS is known for making changes to our paperwork pretty frequently – the changes don’t always make sense to me, but the latest revisions are well received at least by myself.
Earnest money deposits:
The new changes allow the selling broker to have up to three business days to deposit the earnest money or mutual acceptance – whichever is latest. Thank goodness! I am so tired of having to write that in because I obviously can not instantly deposit an earnest money check upon mutual acceptance. This allows for more responsible earnest money handling in my opinion, and is better for all parties involved.
Buyer’s Right to Sue based on Negligence when completing the Form 17 (Seller’s Disclosure Statement):
For the last few years, there has been a crazy little check box on the front page of the purchase and sale agreement which decides whether or not the buyer can sue the seller for negligence when completing the form 17. I have always thought this was a ridiculous choice. OF COURSE the buyer should be able to sue the seller if they are negligent in completing their form 17 and did not disclose something material.
Even worse this choice is the fact that the norm in the biz was for listing agents to make sure that their sellers checked the box not allowing the buyers any recourse. I am glad it is gone. Here is the statement issued by the NWMLS:
“Two recent cases decided by the Washington State Supreme Court have given NWMLS the opportunity to delete Specific Term No. 9 and corresponding General Term “y” from the purchase and sale agreements. Specific Term 9 required that the parties negotiate whether or not the buyer could sue the seller for negligence in completing Form 17. The new Court decisions now require courts to analyze the facts of each case and decide whether or not the buyer has a claim for negligent misrepresentation against the seller, rather than barring such a claim automatically under the “economic loss rule.””
If you need help with Seattle real estate – we are happy to explain the contract to you and share our experience with you in an effort to make the process seamless.