36-21A-125. Adverse material fact defined.
For the purposes of this chapter, an adverse material fact is information that negatively affects the value of the property or a party's ability to perform its obligations in a real estate transaction. Adverse material facts include:
(1)Any environmental hazards affecting the property which are required by law to be disclosed;
(2)Any material defects in the property;
(3)Any material defects in the title to the property which are anticipated to survive the closing; and
(4)Any material limitation on the client's ability to perform under the terms of the contract.
Source: SL 1998, ch 229, §2.