Contracts

In Oregon, a real estate purchase agreement that includes an 'as-is' clause means:

AThe seller has no obligation to disclose any defects
BThe buyer accepts the property in its current condition but the seller still must disclose known material defects✓ Correct
CThe buyer waives all inspection rights
DThe contract is unenforceable because 'as-is' clauses are prohibited in Oregon

Explanation

An 'as-is' clause shifts risk of unknown defects to the buyer and means the seller will make no repairs. However, it does NOT eliminate the seller's duty (under ORS 105.464 and the Oregon SPDS requirements) to disclose known material defects. An as-is clause cannot be used to conceal known problems. Buyers should still conduct thorough inspections even in as-is transactions.

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