Colorado Contracts #111757-Discussion & Results of the Case

Video Transcription

Video Summary

The video discusses the concept of adverse material facts in real estate transactions. It explains that if information is contrary to the interest of any party involved, brokers must disclose it to all parties. The video emphasizes that brokers should disclose facts even if they're unsure about their impact on the property. However, certain circumstances that may psychologically impair or stigmatize the property need not be disclosed without the client's consent. In a specific case discussed, the broker failed to disclose adverse material facts, resulting in violations and penalties, including a $5,000 fine, ethics and contracts coursework, license suspension, and supervision. The seller faced potential civil damages from the buyer. The video highlights the obligation of brokers to disclose known material facts to all parties involved in a transaction.

Keywords

adverse material facts

real estate disclosure

broker obligations

license suspension

civil damages