HR4247-119

2. Disclosure in sale or lease of housing The Secretary of Housing and Urban Development and the Administrator of the Environmental Protection Agency shall, not later than the expiration of the 2-year period beginning on the date of the enactment of this Act, jointly issue regulations under this section requiring the disclosure of asbestos hazards in dwellings that are offered for sale or lease. Such regulations shall require that, before the purchaser or lessee is obligated under any contract to purchase or lease the dwelling, the seller or lessor shall— disclose to the purchaser or lessee the presence of any known asbestos, and any known asbestos-based hazards, in such dwelling and provide to the purchaser or lessee any asbestos hazard evaluation report available to the seller or lessor; and permit the purchaser a 10-day period (unless the parties mutually agree upon a different period of time) to conduct a risk assessment or inspection for the presence of asbestos hazards. The regulations issued under this section shall provide that every contract for the purchase and sale of any interest in a dwelling, and every contract for lease of a dwelling, shall contain an Asbestos Warning Statement and a statement signed by the purchaser or lessee that the purchaser has— read the Asbestos Warning Statement and understands its contents; and had a 10-day opportunity (unless the parties mutually agreed upon a different period of time) before becoming obligated under the contract to purchase the dwelling to conduct a risk assessment or inspection for the presence of asbestos-based hazards. The Asbestos Warning Statement shall contain the following text printed in large type on a separate sheet of paper attached to the contract: Every purchaser of any interest in residential real property on which a dwelling is located, and every lessee of a dwelling, is notified that such property may present exposure to asbestos that may place occupants at risk of lung disease and mesothelioma—a form of cancer. The seller of any interest in residential real property, and the lessor of a dwelling, is required to provide the buyer or lessee, respectively, with any information on asbestos-based hazards from risk assessments or inspections in the seller's or lessor’s possession and notify the buyer or lessee of any known asbestos-based hazards. A risk assessment or inspection for possible asbestos-based hazards is recommended prior to purchase or lease.. Whenever a seller or lessor has entered into a contract with an agent for the purpose of selling or leasing a dwelling, the regulations issued under this section shall require the agent, on behalf of the seller or lessor, to ensure compliance with the requirements of this section. Any person who knowingly violates any provision of this section shall be subject to civil money penalties in accordance with the provisions of section 102 of the Department of Housing and Urban Development Reform Act of 1989 (42 U.S.C. 3545). The Secretary is authorized to take such lawful action as may be necessary to enjoin any violation of this section. Any person who knowingly violates the provisions of this section shall be jointly and severally liable to the purchaser or lessee in an amount equal to 3 times the amount of damages incurred by such individual. In any civil action brought for damages pursuant to this paragraph, the appropriate court may award court costs to the party commencing such action, together with reasonable attorney fees and any expert witness fees, if that party prevails. It shall be a prohibited act under sections 15 and 409 of the Toxic Substances Control Act (15 U.S.C. 2614, 2689) for any person to fail or refuse to comply with a provision of this section or with any rule or order issued under this section. For purposes of enforcing this section under the Toxic Substances Control Act (15 U.S.C. 2601 et seq.), the penalty for each violation applicable under section 16 of such Act (15 U.S.C. 2615) shall not be more than $10,000. Nothing in this section shall affect the validity or enforceability of any sale or contract for the purchase and sale or lease of any interest in residential real property or any loan, loan agreement, mortgage, or lien made or arising in connection with a mortgage loan, nor shall anything in this section create a defect in title. For purposes of this section, the following definitions shall apply: The term asbestos has the meaning given such term in section 202 of the Toxic Substances Control Act (15 U.S.C. 2642). The term asbestos-based hazard means any condition that causes exposure to asbestos that would result in adverse human health effects as established by the appropriate Federal agency. The term dwelling means any dwelling, as such term is defined in section 802 of the Fair Housing Act (42 U.S.C. 3602) that was constructed prior to 2019. The exemptions under section 803(b) of such Act (42 U.S.C. 3603) shall not apply for purposes of this Act. The term inspection means an on-site investigation to determine the presence of asbestos and the provision of a report explaining the results of the investigation. The term risk assessment means an on-site investigation to determine and report the existence, nature, severity and location of asbestos-based hazards in dwellings, including— information gathering regarding the age and history of the housing; visual inspection; sampling or other environmental sampling techniques; other activity as may be appropriate; and provision of a report explaining the results of the investigation. The regulations issued under this section shall take effect upon the expiration of the 2-year period beginning on the date of the enactment of this Act. There is authorized to be appropriated for each fiscal year such sums as may be necessary to carry out this section.