Commercial Pre-Inspection Agreement
This inspection agreement for a building inspection is between BUILDING INSPECTIONS LLC (hereinafter referred to as “Company” or BI”) and the client for which the building inspection is being prepared (hereinafter referred to as “Client”). You agree to pay any additional fees over and above the inspection fee that are the results of you adding additional services after this agreement is signed. By accepting the report, the Client acknowledges that he/she has read this agreement and understands its terms and conditions. In consideration of the mutual covenants and conditions set forth herein, the parties agree as follows:
COMPANY agrees to conduct an inspection for the sole purpose of informing the CLIENT of significant deficiencies in the condition of the property, subject to the limitations and conditions set forth below. The inspection will be performed in accordance with the Standards adopted by ASTM known as E2018. A copy of these standards is available upon request. This will be a modified ASTM E2018 inspection that will not include interviews with local building departments, building maintenance staff and the Fire Marshall, for any outstanding deficiencies and not auditing of building plans and maintenance records. IF YOU DESIRE A FULL ASTM E2018 PCA (Property Condition Assessment), notify Building Inspections LLC of your request. The quoted prices will be amended to include the added costs of the additional research and interviews. The written report shall be a walk- through survey to visually observe the subject property for the purposes of providing a brief description, identifying physical deficiencies to the extent that they are easily observable and readily accessible. This is NOT a technically exhaustive inspection. If you desire additional technical evaluations by qualified technicians i.e., HVAC, Electrical, Elevator, etc., then additional charges will apply to the quoted inspection price. Contact Building Inspections LLC for additional costs. This will be limited to the following paragraph (unless additional areas of scope are added, in writing by the client, and any additional costs are agreed to).
Site:(Topography, Storm Water discharge, ingress and egress, paving curbing and parking, flat work, landscaping and appurtenances, utilities above ground, structural frame and building envelope, plumbing, heating, air conditioning and ventilation, electrical, life and safety. Interior elements: Interior elements. HVAC units are visually inspected for condition and age. Operating HVAC units is not with in this scope. If requested, HVAC units will be operated and inspected by a qualified HVAC technician, at an additional cost. A summary of expected costs to repair will be provided only to the extent of cost ranges that will assist in budgeting for the purposes of anticipating major costs. Only items that will costs $5000 or greater will be included. Roof inspections will be conducted either by walking on the roof, provided interior access in present and or the use of drone technology using high-definition photographs to visually assess the roof. This will be at the discretion of the assessor. If in the opinion of the assessor roof access is needed, then there may be additional costs for the rental and setting of commercial ladders.
CLIENT acknowledges and agrees that the inspection performed by the COMPANY is not a technically exhaustive inspection and is subject to the following limitations: 1. It is understood and agreed that this inspection will only be of readily available areas of the building and is limited to visual observations of the apparent conditions existing at the time of the inspection. The inspector is not required to move personal items, debris, furniture, carpeting and similar items which may impede the access or limit the visibility. 2. Latent and concealed defects are excluded from the inspection as well as equipment owned by the lessees and for the purpose of manufacturing or providing their services. 3. Equipment items and systems will not be dismantled. 4.Maintenance and other items may be discussed but they are not a part of the inspection. The report is not a compliance inspection or certification for past or present governmental codes or regulations of any kind. 5. The inspection will be limited to the buildings identified by the client at the time of scheduling of the inspection, unless otherwise agreed to in writing by the parties. 6. No inspections or reports will be made involving swimming pools, hot tubs, wells, septic systems, security systems, central vacuum systems, water softeners, utility pits, confined spaces e.g., crawl spaces, if in the opinion of the assessor they are unsafe to enter.
Record checks of municipal authority records, plans examination, Fire Marshall records and maintenance department interviews will not be included unless requested by the client and additional fees authorized.
If a determination of ADA compliance is needed, a prior request needs to be submitted to the COMPANY and additional fees will apply.
BI is not responsible for the actions of any person(s) brought to the inspection by the CLIENT. It is understood that BI is not responsible for the client’s safety, or any other entity not employed by BI, while present at the inspection.
The CLIENT authorizes BI to release this report to your representing realtor. HOWEVER, if you DO NOT WISH for a copy to be provided to your realtor, you need to inform BI, in writing, prior to the release of any reports. This inspection report will be delivered with in 10 business days of the inspection unless prior arrangements are made.
In addition to the limitation set forth above, the COMPANY is NOT required to determine the following: Property boundary lines or encroachments, the condition of any components or system that is not readily accessible, the service life expectancy of an component or system, the size capacity and performance or proficiency of any component or system, the cause or reason of a condition, the cause for the need for repair or replacement of any system or component, future conditions, the presence of flora or evidence of rodents, animals or insects, the presence of mold, mildew, fungus or air-borne hazards, the air quality, the existence of asbestos or other environmental hazards, hazardous waste conditions or the presence of hazardous materials including, but not limited to the presence of lead based paint, the existence of electro-magnetic fields, the existence of any manufacturer recalls or conformance with manufacturer installation instructions or any information included in the consumer protection bulletins, the operating costs of systems, replacement or repair cost estimates, ADA compliance and the acoustical properties of any systems or estimates of how much it will cost to run any given system.
CLIENT PARTICIATION: The client is encouraged to participate in the inspection and being present at the time of the inspection. Participation shall be at the client’s and client’s guests own risk of falls, injury, property damage to the property, etc. Because we are guests on this property, it is discouraged that this be used as an opportunity for anyone other than the buyers to be present. YOU are responsible for securing access with the selling realtor for any one other than you to be present as well as their actions while they are present.
The inspection and report performed and prepared pursuant to this agreement are for the sole, confidential and exclusive use, and possession of the CLIENT. If not prohibited by state law or if not prohibited by the client, the report will be given to the client’s realtor to facilitate the sales process. Neither the report or any representations made herein are assignable or transferable without the express written permission of the COMPANY. The CLIENT agrees to indemnify and hold harmless the COMPANY for all costs and legal fees incurred and arising out of any legal proceedings brought by any third party who claims to be harmed as a result of this inspection.
Our inspectors shall not be held liable for information obtained from others, including but not limited to the age and size of the building, presence, or performance of properly qualified licensed pest control inspectors as well as municipal authorities e.g., Fire Marshall, Building Departments, etc.
COMPANY assumes no liability for the cost of repair or replacement of unreported defects or deficiencies either current or arising in the future. CLIENT acknowledges that the liability of the COMPANY, its agents, employees, for claims or damages, costs of defense or suit, attorney’s fees and expenses and payments arising out of or related to the COMPANY’S negligence or breach of any obligation under this agreement, including errors and omissions in the inspection or the report, shall be limited to liquidated damages in an amount equal to the fee paid to the COMPANY, and this liability shall be exclusive. CLIENT waives any claim for consequential, exemplary, special, or incidental damages or for the loss of the use of the building even if the CLIENT has been advised of the possibility of such damages. The parties acknowledge that the liquidated damages are not intended as a penalty but are intended (i) to reflect the fact that actual damages may be difficult and impractical to ascertain, (ii) to allocate risk among the COMPANY and CLIENT, and (iii) to enable the COMPANY to perform the inspection at the state fee.
EXCLUSION AND WARRANTIES
COMPANY’s inspection of the property and the accompanying report are in no way intended to be a guarantee or warranty, expressed or implied, regarding the future use, operability or suitability of the home/building or its components. Any and all warranties, express or implied, including warranties of merchantability and fitness for a particular purpose, are expressly excluded by this agreement.
MEDIATION AND ARBITRATION
Any dispute concerning the interpretation of this Pre-Inspection Agreement or arising from services and information provided, except for fee payment, shall be resolved in good faith by first attending mediation at a mediator agreed to by the parties. If all parties cannot agree on a mutually satisfactory resolution then all parties agree to settle any remaining disputes by binding arbitration conducted in accordance with the rules of the American Arbitration Association, except that the parties shall select
an arbitrator with extensive knowledge of the property inspection industry and who also has an in-depth knowledge of the Standards of Practice referenced in this agreement. Property and equipment in dispute must be made accessible for re- inspection during the settlement process. All parties agree to be bound by the arbitrator’s final ruling. Any costs and fees related to any dispute arising from the interpretation of this agreement or arising from any services and/or information provided, included fee payment, shall be recoverable by the prevailing party. Such costs and fees include, but are not limited to, arbitration, discovery, consultants, expert witnesses and attorneys.
If any portion of this agreement is deemed to be unenforceable, the remainder of the agreement shall remain in full force and effect.
Payment is due at the end of this inspection unless other arrangements have been made. Cancellations must be made a minimum of 24 hours in advance of the inspection. If not terminated within this time frame, a $300 payment which represents our minimum fee will be charged. Client is responsible for inspector’s access. If access is NOT provided when the inspection team arrives, a fee of $75 per hour will be assessed as well as any other costs due to minimum charges made by other technicians hired on behalf of the CLIENT, until access is provided. If cancelled due to a lack of access, the above termination fee applies. A minimum of $300 will be incurred by the client for re-inspection of repairs performed up to two hours. An additional $150 per hour will be incurred over the first two hours. Payment in full is required at the time of the re- inspection services and a detailed copy of an addendum requesting the repairs is required. We do not comment of whether the repairs were done properly since we were not there at the time of the inspection, however, we will inspect the repaired items with the same standards as the original inspection
CUSTOMER ACKNOWLEGES THAT THIS IS A LEGALLY BINDING CONTRACT AND STATES THAT HE, SHE OR THEY HAVE CAREFULLY READ THIS ENTIRE AGREEMENT AND FULLY UNDERSTAND ALL TERMS AND CONDITIONS THERIN AND HAVE FREELY EXECUTED THIS AGREEMENT WITHOUT ANY PRESSURE FROM ANY OTHER PERSON TO DO SO, AND WITHOUIT ANY UNDUE TIME RESTRAINTS. CUSTOMER AGREES TO BE BOUND BY ALL TERMS AND PROVISIONS OF THIS AGREEMENT AND CONFIRMS THAT THERE ARE NOT OTHER WRITTEN OR VERBAL AGREEMENTS BETWEEN THE CUSTOMER AND BUILDING INSPECTIONS LLC.
BY ACCEPTING THE INSPECTION REPORT ONLINE OR BY MAIL OR EMAIL, YOU ARE ACKNOWLEDGING THAT YOU ACCEPT THE PROVISIONS OF THIS AGREEMENT. IF YOU DO NOT ACCEPT THE TERMS OF THIS AGREEMENT, THEN DO NOT ACCEPT OR USE THIS REPORT FOR ANY PURPOSES. DELETE THE REPORT IF SENT ELECTRONICALLY AND NOTIFY US THAT YOU DO NOT AGREE TO THE TERMS OF THIS AGREEMENT.