*Consult with a Realtor® in your area for local standards of practice. Please pay attention. When I rented my apartment, it wasn't ready for me to see before I signed the lease. 12. Property owners in the chain of title have continuing liability for remediation costs related to the condition of the property during each ownerâs ownership. It says you are accepting the apartment "as is". On appeal, Gym-N-I argued that the "as is" clause was not effective during the holdover tenancy, and alternatively, that the clause was unen-forceable.1 9 The court of appeals affirmed the judgment of the trial court, and Gym-N-I petitioned the Texas Supreme Court for review. The most well-known are ânew" and âused," but there's a third description that may show up on a car's price tag: âas is". Why You Should Not Use a Commonly Used Form for As-Is Clauses. ____, IN THE MATTER OF THE MARRIAGE OF _____AND _____, in the ____ District Court of _____ County, Texas.â Texas courts, including the Supreme Court of Texas, have upheld AS-IS clauses in real estate purchase and sale contracts. But sellers who intend to sell a tract of Texas property âas isâ should not use any of these contract forms, because they are all deficient under Texas law to sell property âas is.â They donât get the job done, and thereâs a reason why. The AS IS clause is always discussed in detail, or should be, in a real estate sales contract. 10. isâ clause disclaims implied warranties under the Uniform Commercial Code (âUCCâ), and âno-relianceâ language within the clause may also negate producing cause, a necessary element of any DTPA claim. There are several conditions a car can come in when you purchase it. Id. A divorce deed is typically a special warranty deed that contains a clause similar to the following: âConsideration for this transaction is the division of property pursuant to a Final Decree of Divorce dated ____ entered in Cause No. [ ] addendum . Merger and no reliance clauses are occasionally overlooked as boilerplate language, yet play important roles in defending a fraud claim. Read my previous articles Portland Real Estate Questions: What is an âAS ISâ Provision? Id. [ ] counteroffer to that real estate purchase contract (the "repc") with In 2011, the Texas Supreme Court addressed the issue of whether a merger clause may preclude claims of fraudulent inducement. Id. 20 8. Addendum â âAs Isâ Sale This addendum is an integral part of that Agreement dated between at 906-07. Id. We could not see fiberglass in the attic that was rotted and a fiberglass box shoved up in the corner (on the right of the air handler) in the closet. Id. In Texas the âas isâ clause is even more important than the provision stating the sales price, especially for properties with a history of environmental contamination. 11. The Court found that there was a question of fact as to whether or not the seller fraudulently induced the purchaser to agree to the as-is clause by failing to disclose certain information about the property. Case law generally establishes that a buyer who agrees to purchase property âas is,â acknowledges, by her own admission, that she is the sole cause of any damage that may result from unknown defects in the property. 9. The Third District Court of Appeals in Austin recently held that an as-is clause in a purchase contract may be unenforceable. "asâis" condition addendum to real estate purchase contract this is an . In this context, there is a distinct âtwo-stepâ process that mitigates the effects of an âas isâ clause. 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