This law adds requirements for natural hazard reports prepared by experts and used by sellers’ brokers/agents to make property disclosures to prospective buyers.

California Civil Code 1103.4

Added by S.B. No. 110
Effective: January 1, 2012

Beginning January 1, 2012, for a seller’s broker or seller to limit his liability to a prospective buyer when relying upon an expert’s natural hazard disclosure (NHD) report to make timely property disclosures, the NHD report issued is to note whether the property is located within one mile of a mine operation. If it is, the NHD report must include the following wording:

NOTICE OF MINING OPERATIONS:

This property is located within one mile of a mine operation for which the mine owner or operator has reported mine location data to the Department of Conservation pursuant to Section 2207 of the Public Resources Code. Accordingly, the property may be subject to inconveniences resulting from mining operations. You may wish to consider the impacts of these practices before you complete your transaction.

Editor’s note — Current first tuesday students and purchasers of first tuesday Forms-on-CD 4.3 may download a FREE copy of the updated Notice Addendum (Airport, Farmland, San Francisco Bay or Mining Operation) [See first tuesday Form 308] and digitally fill, print and save it. Log in to your student homepage at www.firsttuesday.us using your eight-digit Department of Real Estate (DRE) license number or T-number and click, “first tuesday Forms Downloads and Updates.”