If the CL100 reveals the presence or indication of or damages by termite infestation or other wood destroying organisms, the parties have some decisions to make.

The seller can remedy and keep the buyer under contract per the contract language.

If the seller will not remedy, the buyer makes a choice between "buying anyway" per the contract, negotiating (e.g., "The seller will remedy if the price is increased from $340,000 to $350,000."), or properly terminating (e.g., deliver SCR313 notice of termination).

If there is an active SCR310 due diligence period, the buyer has additional decision options such as proper due diligence terminating even if the seller agrees to remedy.

If there is a financing contingency, perhaps the lender will not lend (e.g., the CL100 repairs are significant) which can allow a buyer to properly terminate.

SCR310 section #11 wood infestation report section excerpt:

If the wood infestation report reveals the presence or indication of or damages by termite infestation or other wood destroying organisms, Seller shall remedy such deficiencies and shall furnish the Buyer with a CL100 wood infestation report by a qualified/licensed/bonded pest control operator (dated no earlier than 30 calendar days prior to Closing) that the Property is free from infestation or any damage herein mentioned; or documentation that the infestation has been treated and damage has been repaired as appropriate in a workmanlike manner on or before closing and reported by an appropriate licensee. State law and regulations control CL100 issues. If the Seller does not make the repairs and treatment, the Buyer shall have the option to (1) accept the Property in its present condition, (2) negotiate with the Seller for the payment of these repairs and treatment, or (3) terminate this Contract by Delivering Notice of Termination to the Seller. If the Property to be sold has not been previously occupied, Seller shall certify that the Dwelling has been treated by soil poisoning for the prevention of termites and other wood destroying organisms and shall provide at Closing to the Buyer a written certification from a qualified/licensed/bonded pest control operator. The obligations of the Seller under this Section terminate after the Closing.

Posted by: Byron King on 05/25/23 (This information is only accurate as of 05/25/23. You must contact SCR for updates and changes to this information after 05/25/23 as laws and regulations may change over time. SCR 803-772-5206 or email info at screaltors.org or email byron at screaltors.org)

This information is not legal advice. This information is intended only to provide general information and may not be relied upon as specific legal guidance. Legal counsel should always be consulted before acting in reliance on this information.