ContractsIntermediateDelaware Exam

In Delaware, what is the seller's obligation under the Seller Disclosure of Real Property Condition Act if they become aware of a new material defect after the initial disclosure is made?

AThe seller has no obligation to update the disclosure after it is signed
BThe seller must update the disclosure form and provide it to the buyer before closingCorrect
CThe seller must notify only their listing agent
DThe seller must reduce the price equal to the cost of the defect

Why The seller must update the disclosure form and provide it to the buyer before closing Is Correct

Answer B: The seller must update the disclosure form and provide it to the buyer before closing

If the seller becomes aware of a new material defect after the initial disclosure, they must update and re-provide the disclosure form to the buyer. The buyer then has the right to rescind the contract within a specified period.

Exam Tip: Contracts

Contract questions frequently test the essential elements required for a valid contract. Remember: competent parties, mutual consent, lawful object, and sufficient consideration. Watch for void vs. voidable distinctions.

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