Contracts

Which statement is true about an 'as-is' sale and seller disclosure in Arkansas?

AAn as-is clause relieves the seller of all disclosure obligations
BThe seller must still disclose known material defects even in an as-is sale✓ Correct
CAs-is properties are exempt from the Property Disclosure Act
DAs-is sales are not permitted in Arkansas residential transactions

Explanation

In Arkansas, an as-is clause does not eliminate the seller's obligation to disclose known material defects under the Residential Property Disclosure Act. The as-is clause means the seller won't make repairs, not that they can conceal known defects.

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