Sample Inspection Contract

  1. Client requests a mostly visual inspection of the dwelling/structure identified at the (stated) address by Scheidt Home Inspection, Jerrold Scheidt-owner, its employees and representatives . The aforementioned shall hereinafter be referred to as “SHI.”
  2. Client hereby represents and warrants that all approvals necessary have been secured for SHI’s entrance on to all areas of the property.
  3. Client warrants that (a) Client has read this Agreement carefully, (b) Client understands the Client is bound by all the terms of this Agreement, and (c) Client will read the Entire Inspection Report and FOLLOW EVERY RECOMMENDATION for repairs, maintenance, and safety- including FURTHER EVALUATION BY A SPECIALIST/ CONTRACTOR. (d) Client agrees that SHI shall be held harmless for any alleged defects or deficiencies found in dwelling/structure inspected. Client agrees all responsibility for payment of ANY Specialist/Contractor hired to perform repairs is theirs alone and that SHI make no warranty/guarantee as to the quality of workmanship performed by anyone in relation to this inspection or the advice they may give Client. (e)Client accepts that this is NOT a technically exhaustive inspection.
  4. Client shall not hold SHI responsible for any damages caused by the inspection process or for any damages caused by improperly stored private property that causes damage to dwelling/structure during the course of the inspection. The Owner of the property inspected may be held responsible for any injury incurred during the inspection process for any reason including but not limited to injury caused by improper maintenance, improperly stored items, or any hazardous conditions that lead to injury of SHI inspector(s) or any of its employees present at the time of the inspection or damage to property of said individuals, including but not limited to inspection tools and vehicles.
  5. CONFIDENTIAL REPORT: Client understands that the inspection and the Inspection Report are performed and prepared for Clients sole, confidential use. Client and their Representative(s) agree that Client or his Representative (s) will not transfer, disseminate or otherwise disclose any part of the Inspection Report to any other persons. THE ONLY exceptions to this non-disclosure are as follows: (a) one copy may be provided to the current Seller (b) one copy may be provided to the Real Estate Agent directly representing Client and/or Client’s lending institution for the use in the Client’s transaction ONLY.(c) one copy may be provided to the Attorney directly representing Client (d) one copy may be provided to the Specialist/Contractor(s) correcting defects/deficiencies for the Client. IN THE EVENT THAT ANYONE OR ANY ENTITY CLAIMS DAMAGES AS A RESULT OF THE RELIANCE UPON THE INSPECTION REPORTS UNAUTHORIZED RELEASE AND SEEKS RECOMPENSE FOR SAID DAMAGES FROM SHI Client agrees to indemnify, defend, and hold SHI, and the Inspector harmless from any third party claims arising out of Client’s  or Representative’s Unauthorized distribution of the Inspection Report, including, but not limited to, any claims caused by the alleged negligence, breach of contract, fraud, misrepresentation, or any other theory of liability of SHI.
  6. SHI agrees to perform a mostly visual, not technically exhaustive inspection of the dwelling/structure at the above address and to provide Client with a written opinion(delivered digitally) as to the apparent general condition of the structure’s components and systems, including identification of significant observable deficiencies, as they exist at the time of the inspection.  Client will not hold SHI responsible or negligent in any way for any defect or deficiency that was not observable at the time of the inspection.
  7. SCOPE OF INSPECTION: The inspection includes only those systems and components expressly and specifically identified in the inspection report. Any area which is not exposed to view, is concealed, is inaccessible because of Soil, Walls, Floors, Carpets, Ceilings, Furnishings or any other thing, or those areas/items, which have been excluded is not included in this inspection. The inspection does not include any destructive testing or dismantling, in accordance with the laws of the state of California. In addition to the other LIMITATIONS provisions in this Agreement, Client agrees to assume all the risk for all conditions concealed from view at the time of the inspection or exist in any area excluded from Inspection by the terms of this agreement.
  8. Maintenance and other items may be discussed during your inspection but may/may not form a part of the inspection report and are provided for informational purposes only. Maintenance suggestions are the opinions of the SHI inspector/employee and Client should seek information as to any repairs or maintenance from the proper specialists or contractors. Client shall not hold SHI or any of its representatives responsible for repair or maintenance performed by anyone. Client assumes all responsibility for any repairs needed to dwelling/structure inspected.
  9. SHI nor any of its inspectors or employees/representatives shall make no repairs to the dwelling/structure inspected.
  10. CHINESE DRYWALL EXCLUSION: The Client specifically acknowledges that the Inspection will not and is not intended to detect, identify, disclose, or report on the presence of Chinese Drywall products or the actual or potential environmental concerns or hazards arising out of the existence of these products. Client agrees to hold SHI harmless for any injury, health risk, or damages of any nature caused or contributed to by these products. Furthermore, Client acknowledges that any discussions regarding the actual or potential presence of Chinese Drywall are informative in nature only and do not hold SHI or any of its employees to be experts pertaining to the potential concerns associated with Chinese Drywall.
  11. The following areas/items, systems and components are among those NOT INCLUDED in the scope of inspection: Code or Zoning Violations, Permit Research, Building value appraisal, ADA compliance, Repair cost estimates, System or component installation, Adequacy of efficiency of any system component, PREDICTION of LIFE Expectancy of ANY item, LATENT or CONCEALED Defects, Structural, geological, soil, wave action or hydrological stability, survey, engineering, analysis or testing, Soil condition, termites or other Wood Destroying Organisms, rodents or other pests, Dry rot or fungus or the damage from or relating to the preceding, Asbestos, radon gas, lead paint, mold, urea formaldehyde, toxic or flammable chemicals, water or air quality, PCB’s or other toxins, electromagnetic fields, underground storage tanks, proximity to toxic waste sites, Sick Building Syndrome or other environmental or health hazards,  Spas, hot tubs, Swimming pools, Saunas, Steam baths, Fountains or other types of or related systems or components, Water softener or purifiers, Private water or sewage systems, Seawalls, docks, davits, boat lifts or other marine equipment, Radio controlled devices, Telephone and cable television wiring and service, Automatic gates, Elevators, Lifts, Dumbwaiters, Thermostatic or time clock controls, Radiant heat systems, Furnace heat exchanger, Solar heating or electrical systems , Heat pump recovery units, Gas appliances such as fire pits, barbecues, heaters, lamps, and pool heaters, Main gas shut off valve, Gas leaks, Seismic or hurricane safety, flood zone determination, Previous flood history, Boundaries, Easements or right of way, Freestanding appliances and buildings and sheds,  Security system, Fire safety, Sprinkler  Systems, Low voltage/low voltage and landscape lighting systems, Personal property, Items specifically noted as excluded in the inspection report, Odors,  noise or any adverse condition that may affect the desirability of the property, Proximity of railroad tracks or airplane routes/Unique or technically complex systems or components*. If inspection is desired in any of the areas/items, systems or components listed above, Client shall contact the appropriate professionals *(Some of the above items may be included in this inspection for additional fees-check with your inspector) If inspector recommends consulting other specialized experts, client must do so at client’s expense.
  13. The written report to be prepared by SHI shall be considered the final and exclusive findings of SHI of the dwelling/structure. Client understands and agrees that Client will not rely on any oral statements made by the inspector prior or subsequent to the issuance of the written Inspection Report. Client further understands and agrees SHI reserves the right to modify the inspection report for a period of time that shall not exceed seven (7) business days after the inspection report and/or the information provided to retrieve inspection report has first been delivered to the Client via internet.
  14. LIMITATION ON LIABILITY: It is agreed that SHI, its employees, owners, and heirs, are not in any way insurers of the property inspected and that payments for the inspection services provided herein are based solely upon the value of those services, and it is not the intention of the parties that SHI assume responsibility: (1) for any loss occasioned by malfeasance or misfeasance in the  performance of the services under this Agreement, (2) for any loss or damage sustained during the inspection process,  burglary, theft, robbery, fire or other cause,  or (3) for any liability on the part of SHI by virtue of this Agreement or because of the relationship hereby established.(4) Client will not hold SHI responsible or negligent in any way for any deficiency that was not observable At The Time of the inspection. SHI MAKES NO WARRANTIES, EXPRESS OR IMPLIED, AND ANY SUCH WARRANTY IS SPECIFICALLY EXCLUDED AND DISCLAIMED.
  15. DISPUTES: Client understands and agrees that any claim for failure to accurately report the Visually Discernible conditions at the subject property, shall be made in writing by Registered mail with return receipt requested and reported to the inspector within ten business days of discovery. Client further agrees that, with exception of emergency conditions, Client or Client’s agents, employees or independent contractors will make NO alterations, modifications or repairs to the claimed discrepancy prior to a re-inspection by the SHI Inspector. Client understands and agrees that any failure to notify the Inspector as stated above shall constitute a waiver of any and all claims for said failure to accurately report the condition in question.
  16. MEDIATION AND ARBITRATION: MEDIATION: The parties to this Agreement agree to attend, in good faith, mediation with a retired judge or lawyer with at least 5 years of mediation experience and the same in experience with the Law governing home inspection and real estate in the state of California. All notices of mediation must be served in writing by return receipt allowing 30 days for response. If no response is forthcoming the moving party may then demand binding arbitration under the terms and provisions set forth below.  It is agreed that any dispute, controversy, interpretation or claim, including claims for, but not limited to, breach of contract, any form of negligence, fraud or misrepresentation arising out of, from or related to, this contract or arising out of, from or related to, the inspection or inspection report, shall be submitted to final and binding Arbitration under the Rules and Procedures of the State of California.   ARBITRATION: Any dispute concerning the interpretation or enforcement of this Agreement, the inspection, the inspection report, or any other dispute arising out of this relationship, shall be resolved between the parties by binding arbitration conducted in accordance with California Law. The parties shall select and agree upon an arbitrator who is familiar with the real estate profession. The parties agree that they shall be entitled to discovery procedures within the discretion of the arbitrator. The arbitrator shall manage and hear the case applying the laws of the State of California to all issues submitted in the arbitration proceeding. Any disputes are to be arbitrated by: {The Agreed upon Arbitrator.} The decision of the arbitrator appointed hereunder shall be final and binding and judgment on the award may be entered in any court having jurisdiction in the State of California. Client understands and agrees that in any such arbitration, all of the limitations of liability provisions of the agreement shall apply. NOTICE: CLIENT AND INSPECTOR WOULD HAVE A RIGHT OR OPPORTUNITY TO LITIGATE DISPUTES THROUGH A COURT AND HAVE A JUDGE OR JURY DECIDE THE DISPUTES BUT HAVE AGREED INSTEAD TO RESOLVE DISPUTES THROUGH MEDIATION AND BINDING ARBITRATION. No legal action or proceeding of any kind, including those sounding in tort or contract, can be commenced against the Inspector, SHI or its representatives, or employees more than 3 months from the date Client discovers, or through the exercise of reasonable diligence should have discovered, the cause of action. In no event shall the time for commencement of a legal action or proceeding exceed six months from the date of the inspection. THIS TIME PERIOD IS SHORTER THAN OTHERWISE PROVIDED BY LAW.
  17. Client understands and agrees that if Client chooses not be present at the time of the inspection or does not sign this Inspection Agreement PRIOR to the inspection, that upon the delivery of the inspection report or of the information provided to retrieve said inspection report to Client or Clients representative, this Agreement Shall be accepted by Client. If for any reason the report is not deliverable to client via internet, Client agrees to receipt of Inspection Report via their representative (usually their Real Estate Agent, spouse, or legal partner) and shall be accepted as Received by Client. This Inspection agreement may also become part of the Inspection Report, and therefore delivery of the Inspection Report to the Client or Client’s Representative (by mail, in person or via internet) will constitute acceptance of all the terms and conditions of this Agreement.
  18.  SEVERABILITY: If any portion of this Agreement is found to be invalid or unenforceable by any court or arbitrator the remaining terms shall remain in full force and effect between the parties.
  19. PAYMENT: Payment is DUE AT THE TIME OF INSPECTION. A 10% late fee (per month) may be charged for all late payments. If SHI tried in good faith to contact you but has not received payment after 90 days a fee of $50 in administrative fees may be added monthly until fees are paid in full. All costs, including but not limited to, collections, liens & legal fees to recover past due payments will be added to the customer final bill. A $50.00 fee may be added to all returned checks. PAYMENT OF FEES ARE NOT ACCEPTED THROUGH ESCROW ACCOUNT.
  20. ENTIRE CONTRACT: This Agreement represents the entire agreement between the parties. No oral agreements, understandings or representations shall change, modify or amend any part of this agreement. No change or modification shall be enforceable against any party unless such changes or modifications are in writing and signed by the parties. This Agreement shall be binding upon and inure to the parties hereto and their spouses, heirs, executors, administrators, successors, assigns and representatives of any kind whatsoever.

I have read, understand, and accept all the terms and conditions of this contract and agree to pay the fee as listed in this contract and agree to any adjustment of fee based on corrected square footage of home/structure inspected.