Environmental

Texas has specific rules about disclosure of underground storage tanks (USTs) to prospective buyers or tenants. A seller or landlord who knows of a UST on the property should:

AOnly disclose USTs that are currently leaking
BDisclose all known USTs, whether active or abandoned, as they can represent environmental liability and affect property use✓ Correct
COnly disclose USTs with a capacity over 1,000 gallons
DRely on the Phase I ESA to discover USTs without any affirmative disclosure

Explanation

USTs (even inactive or abandoned ones) can represent significant environmental liability and should be disclosed as material facts. Known USTs, whether in service or abandoned, should be disclosed to prospective buyers and tenants. Buyers and lenders typically require investigation of all known and suspected USTs.

Related Texas Environmental Questions

Practice More Texas Real Estate Questions

1,500+ questions covering all exam topics. Start free — no signup required.

Take the Free Texas Quiz →