When a seller indicates 'Not Defective' on a disclosure form based on a licensed professional's assessment, what is their liability if an issue is later discovered?

In real estate transactions, a seller is often required to disclose known defects in a property to potential buyers. When a seller marks 'Not Defective' on a disclosure form based on an assessment from a licensed professional, it indicates that they have relied on that professional’s expertise to evaluate the property's condition. This reliance on a professional assessment is key in determining liability.

The reasoning behind the correct answer lies in the notion of due diligence. If a seller has actively sought the opinion of a qualified professional, and the professional in turn indicates that there are no defects, the seller is taking reasonable steps to ensure that they are accurately conveying the property's condition. Should an issue later be discovered, the seller's liability is minimized because they acted in good faith and based their disclosure on expert input.

Moreover, the seller is not expected to have the same level of expertise as a licensed professional; therefore, they should not be held liable for issues that were not disclosed in their assessments if they made the disclosure in reliance on the professional's evaluation. This principle serves to protect sellers from the burden of liability when they have done their due diligence by consulting an expert. Therefore, if the seller has relied on professional information, their liability is typically reduced or eliminated, making this the correct