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Water Testing and Septic Dye Testing by

Taylor Associates
Inspection Services Inc.

805 Camelot Dr., Salisbury, MD 21804
Office: (410) 219-7352      Cell phone: (443) 235-1729

Pre-Inspection Agreement

THIS AGREEMENT is made between Taylor Associates Inspection Services Inc. (herein referred to as the “Company”) and _____________________________________ (herein referred to as “Customer”) regarding a building (the “Building”) to be inspected located at _______________________________________________________________.

1. Agreement. The Company agrees to perform an inspection of the Building and its systems and components described herein for the purpose of alerting the Customer of conditions which, in the professional opinion of the inspector, are materially deficient or near the end of their useful lives. A report (the “Report”) containing the inspection’s findings will be prepared by the Company and provided to the Customer for its sole, exclusive and confidential use. The Company will perform its inspection in accordance with the Standards of Practice of the American Society of Home Inspectors, a copy of which will be provided to Customer upon request. Minor or cosmetic defects will not be reported.

2. Fee. The fee for the inspection and the accompanying Report shall be:

The fee is due and payable upon presentation of the Report and is based on a single visit to the Building. Additional fees may be charged for subsequent visits required by the Customer or, if the inspector conducting the inspection is called upon to prepare for litigation, give testimony as a result of his inspection, or the like, such additional services are beyond the scope of this Agreement.

3. Scope of Inspection. The inspection will be conducted only on visible and on safely and readily accessible areas and components of the Building, and is limited to the apparent condition of the Building on the date of the inspection. Not all conditions may be apparent on the inspection date due to weather conditions, inoperable systems, inaccessibility, and other obstructions, including floor coverings, insulation, placement of furniture or other personal property and vegetation. Conditions may exist which remain undiscovered, and the Company is not responsible for the failure to discover latent defects or for problems which occur or become evident after the inspection time. No invasive or destructive testing will be made, and no equipment, systems or appliances will be dismantled, and no engineering tests or measurements will be made. As to certain conditions, only random sampling will be conducted. Unless specifically included in the agreed-upon fee in Section 2 above, neither this Agreement nor the Report constitutes of should be construed to be:

The Customer should seek other advice or recommendations from appropriate professionals regarding the, conditions revealed in the Report and areas or conditions excluded from the scope of the inspection. The Company may be able to provide additional inspection services not covered by this Agreement for an additional fee. While the inspection reduces the risk of purchasing property, it does not eliminate such risk.

4. Disclaimer of Warranty. The Company’s inspection of the Building and the accompanying Inspection Report are in no way intended to be a guarantee or warranty, express or implied, regarding the future use, operability, habitability or suitability of the 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.

5. Limitation on Liability. The Company assumes no liability for the cost of repair or replacement of unreported defects or deficiencies either current or arising in the future. Customer acknowledges that the liability of the Company and its agents, employees, and inspectors 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 the obligations 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 hereunder, and this liability shall be exclusive. Customer waives any claim for consequential, exemplary, special or incidental damages or for the loss of the use of the Building even if the Company 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 Customer; and (iii) to enable the Company to perform the inspection at the stated fee.

6. Dispute Resolution; Fees and Costs. Any controversy of claim between the parties arising out of or relating to the interpretation of this Agreement, the services rendered hereunder or any other matter pertaining to this Agreement will be submitted in accordance with the applicable rules of the American Arbitration Association. The parties shall mutually appoint an arbiter who is knowledgeable and familiar with the professional home inspection industry. Judgment on any award may be entered in any courts having jurisdiction and the arbitration decision shall be binding on all parties. In the event the Customer commences an arbitration and is unsuccessful in it, the Customer will bear all the Company’s expenses incurred in connection therewith including, but not limited to, attorney’s fees and a reasonable fee to the employees of the Company to investigate, prepare for attend any proceeding or examination. All claims must be presented within one year after the date of inspection. Customer may not present or pursue any claim against the Company until (1) written notice of the defect or omission is provided to the Company and (2) the Company is provided access to and the opportunity to cure the defect, except in the case of an emergency or to reduce or prevent injury or damage to persons or property.

7. Third Party Indemnification. The Report is being prepared for Customer’s confidential and exclusive benefit and is not intended for the use or benefit of anyone other than Customer. Customer agrees to indemnify, defend and hold harmless the Company and its agents, employees and inspectors for any damages, fees, expenses or judgments arising out of any claim or proceeding brought by any third party relating to this Agreement or the Report. By initialing here (______), Customer authorizes the Company to distribute a copy of the Report to the real estate agent(s) directly involved in the sale and purchase of the Building, who are not intended beneficiaries of the Report.

8. Participation in Inspection; Pre-Closing Walk-Through. Customer has been encouraged to participate in the inspection and accepts responsibility for any incomplete information resulting from Customer’s non-participation. Customer’s participation shall be at Customer’s own risk for any personal injury or property damage. Customer acknowledges that damages, defects or failures may appear after the inspection and before Customer’s legal acceptance of the Building and that the inspection and the Report are no substitute for a pre-settlement inspection and walk-through for which Customer is responsible. Customer agrees that neither the Company nor any of its agents, contractors or inspectors shall be responsible for the costs of correcting any alleged defects or for replacing or repairing any nonfunctional components if such conditions could have been reasonably detected by a layperson in the course of a diligent pre-closing walk-through and for the lack of more extensive investigation and follow through with a specialist on any problems noted in the Report, including confirmation of any cost approximations.

9. Miscellaneous. This is the entire agreement of the parties regarding these matters. Any modification or amendment to this Agreement must be in writing and signed by the affected party. In the event any portion of this Agreement is determined to be invalid or unenforceable, the remainder of the Agreement will continue in full force and effect. This Agreement is binding upon, and inures to the benefit of, the heirs, successors and permitted assigns of each of the parties. This Agreement shall be interpreted and enforced in accordance with the laws of the State of Colorado.

By signing below, I acknowledge that I have read and agreed to the terms, conditions and limitations of this Agreement, including without limitation the disclaimer of warranty, limitation of liability, Indemnification, and one-year time period to initiate legal action.

Agreed and accepted for Taylor Associates Inspection Services Inc.