The coronavirus clause is now a thing in resi deals

National /
Mar.March 24, 2020 02:30 PM
Real estate brokers across the country have been adding standardized coronavirus-related legal language and addendums to help buyers manage risk.

Real estate brokers across the country have been adding standardized coronavirus-related legal language and addendums to help buyers manage risk.

Less than a month ago, a “coronavirus clause” in a condo deal was a rare curiosity. But now such clauses have gone mainstream.

Real estate brokers across the country have been getting standardized coronavirus-related legal language and addendums from their attorneys, title companies, brokerages and trade organizations to help buyers manage risk in these uncertain times, Inman reported.

“Any new contracts that we’re writing, we are putting an addendum in,” Linda Fercodini of Fercodini Properties in Wolcott, Connecticut told the publication. “We’ve had a few of our buyers want to extend because of their job — the companies they work for have asked them not to come in.”

Many of these clauses include “force majeure” language allowing contracts to be terminated or extended for a period of time under certain unforeseeable circumstances.

The clause used by Fercodini states that a contract may be delayed in the event of “an act of God, declared state of emergency or public health emergency, pandemic (specifically including COVID-19), government mandated quarantine” and some other scenarios.” [Inman] — Kevin Sun


Related Articles

arrow_forward_ios
Florida Gov. Ron DeSantis (Credit: Joe Raedle/Getty Images)

DeSantis says restaurants in Florida can operate at up to 100% capacity

DeSantis says restaurants in Florida can operate at up to 100% capacity
Peter Vauthy and Red South Beach (Getty)

The Weekly Dish: Red South Beach signs $5M lease for new space & more

The Weekly Dish: Red South Beach signs $5M lease for new space & more
Miami-Dade County Mayor Carlos A. Gimenez (Credit: Jason Koerner/Getty Images)

Miami-Dade police said pre-Covid evictions could resume. Then came mayor’s stop order

Miami-Dade police said pre-Covid evictions could resume. Then came mayor’s stop order
Miami-Dade County Mayor Carlos A. Gimenez (Credit: Jason Koerner/Getty Images)

Miami-Dade begins phase 2 reopening: movie theaters, bowling alleys and more

Miami-Dade begins phase 2 reopening: movie theaters, bowling alleys and more
Florida Gov. Ron DeSantis (Credit: Joe Raedle/Getty Images)

DeSantis moves Miami-Dade, Broward counties into phase two

DeSantis moves Miami-Dade, Broward counties into phase two
Gov. DeSantis (Credit: Joe Raedle/Getty Images)

Drink up: Bars can reopen Monday in the Florida Keys — but not in rest of South Florida

Drink up: Bars can reopen Monday in the Florida Keys — but not in rest of South Florida
A Toojay's Deli location (Google Maps)

Lender acquires TooJay’s out of bankruptcy

Lender acquires TooJay’s out of bankruptcy
Miami-Dade Mayor Carlos Gimenez (Credit: Jason Koerner/Getty Images)

Miami-Dade mayor: Bars and nightclubs won’t reopen until there’s a vaccine

Miami-Dade mayor: Bars and nightclubs won’t reopen until there’s a vaccine
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...