Terms and Conditions

1. INSPECTOR agrees to perform a visual inspection of the home/building and to provide CLIENT with a
written report identifying the defects that INSPECTOR both observed and deemed material. INSPECTOR
may offer comments as a courtesy, but these comments will not comprise the bargained- for report. The
report is only supplementary to the seller’s disclosure.

2. Unless otherwise inconsistent with this Agreement or not possible, INSPECTOR agrees to perform the
inspection in accordance with the current “Standards of Practice” (the” Standards”)shall define the
standard of duty and conditions, limitations, and exclusions of the inspection and are incorporated by
reference herein. If the state/province where the inspection is performed imposes more stringent
standards or administrative rule, then those standards shall define the standard of duty and the
conditions, limitations, and exclusions of the inspection. The CLIENT understands that INSPECTOR will
NOT be testing for the presence of radon – a colorless, odorless, radioactive gas that may be harmful to
humans. Unless otherwise indicated below, CLIENT understands that INSPECTOR will NOT be testing for
mold. Unless otherwise indicated in a separate writing, CLIENT understands that INSPECTOR will not test
for compliance with applicable building codes or for the presence of potential dangers arising from
asbestos, lead paint, formaldehyde, molds, soil contamination, and other environmental hazards or

3. The inspection and report are for the use of CLIENT only, who gives INSPECTOR permission to discuss
observations with real estate agents, owners, repair persons, and other interested parties. INSPECTOR
shall be the sole owner of the report and all rights to it. INSPECTOR accepts no responsibility for use or
misinterpretation by third parties, and third parties who rely on it in any way do so at their own risk and
release INSPECTOR (including employees and business entities) from any liability whatsoever. Any third
parties who rely on the report in any way also agree to all provisions in this Agreement. INSPECTOR’S
inspection of the property and the report are in no way a guarantee or warranty, express or implied,
regarding the future use, operability, habitability or suitability of the home/building or its components.
All warranties, express or implied, including warranties of merchantability and fitness for a particular
purpose, are expressly excluded to the fullest extent allowed by law. If any structure or portion of any
structure that is to be inspected is a log home, log structure or includes similar log construction, CLIENT
understands that such structures have unique characteristics that make it impossible for an inspector to
inspect and evaluate them by an exterior visual inspection. Therefore, the scope of the inspection to be
performed pursuant to this Agreement does not include decay of the interior of logs in log walls, log
foundations or roofs or similar defects.

4. If Client is married, Client represents that this obligation is a family obligation incurred in the interest
of the family.

5. INSPECTOR 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 INSPECTOR,
its agents and/or employees, for claims for damages, costs of defense or suit, attorney’s fees and
expenses arising out of or related to the INSPECTOR’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 INSPECTOR, 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 home/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 INSPECTOR and CLIENT; and (iii) to enable the INSPECTOR to perform the inspection at the
stated fee.

6. INSPECTOR does not perform engineering, architectural, plumbing, or any other job function requiring
an occupational license in the jurisdiction where the inspection is taking place, unless the inspector
holds a valid occupational license, in which case he/she may inform the CLIENT that he/she is so
licensed, and is therefore qualified to go beyond this basic home inspection, and for additional fee,
perform additional inspections beyond those within the scope of the basic home inspection. Any
agreement for such additional inspections shall be in a separate writing.

7. Systems, items, and conditions which are not within the scope of the base building inspection include,
but are not limited to; radon, formaldehyde, lead paint, asbestos, toxic or flammable materials, mold,
fungi, other environmental hazards; pest infestation; security and fire protection systems; household
appliances; humidifiers; paint, wallpaper and other treatments to windows, interior walls, ceilings, and
floors; recreational equipment or facilities; pool/spa water purification systems (ozone generator/
saltwater, etc.); underground storage tanks, energy efficiency measurements; motion or photo-electric
senor lighting; concealed or private systems; water wells; overflow drains; heating system’s accessories;
solar heating systems; heat exchangers; sprinkler systems; water softener or purification system; central
vacuum systems; telephone, intercom or cable TV systems; antennae, lighting arrestors, load controllers;
trees or plants; governing codes, ordinances, statutes, and covenants; and manufacturer specifications,
recalls and EIFS. Client understands that these systems, items, and conditions are except from this
inspection. Any general comments about these systems, items, and conditions of the written report are
informal only and DO NOT represents an inspection.

8. In the event of a claim against INSPECTOR, CLIENT agrees to supply INSPECTOR with the following: (1)
written notification of adverse conditions within 7 days of discovery; and (2) access to the premises.
Failure to comply with the above conditions will release INSPECTOR and its agents from any and all
obligations or liability of any kind.

9. The parties agree that any litigation arising out of this Agreement shall be filed only in the Court
having jurisdiction in the County in which the INSPECTOR has its principal place of business. In the event
that CLIENT fails to prove any claims against INSPECTOR in a court of law, CLIENT agrees to pay all legal
costs, expenses and fees of INSPECTOR in defending said claims.

10. If any court declares any provision of this Agreement invalid, the remaining provisions will remain in
effect. This Agreement represents the entire agreement between the parties. All prior communications
are merged into this Agreement, and there are no terms or conditions other than those set forth herein.
No statement or promise of INSPECTOR or its agents shall be binding unless reduced to writing and
signed by INSPECTOR. No change shall be enforceable against any party unless it is in writing and signed
by the parties. This Agreement shall be binding upon and enforceable by the parties and their heirs,
executors, administrators, successors and assignees. CLIENT shall have no cause of action against
INSPECTOR after one year from the date of the inspection.

11. Payment of the fee to INSPECTOR is due upon completion of the on-site inspection. The CLIENT
agrees to pay all legal and time expenses incurred in collecting due payments, including attorney’s fees,
if any. If CLIENT is a corporation, LLC, or similar entity, the person signing this Agreement on behalf of
such entity does personally guaranty payment of the fee by the entity.

12. This Agreement is not transferable or assignable.

13. The inspection will not include an appraisal of the value or a survey. The written report is not a
compliance inspection or certification for past or present governmental codes or regulations of any kind.

14. Should any provision of this Agreement require judicial interpretation, the Court shall not apply a
presumption that the term shall be more strictly construed against one party or the other by reason of
the rule of construction that a document is to be construed more strictly against the party who prepared