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This 100-Day Limited Home Warranty is purchased for the buyer at no cost to client or realtor.
This limited home warranty agreement (“warranty”) is not an insurance policy. It is an agreement between Warranty Corporation (“WC”) and the home inspector whose name,
signature, and ID appear on page 4 of this document (“Inspector”). Inspector acquired this warranty on behalf of Inspector’s client in order to provide added value to the inspection. The warranty is
intended to provide for the cost of repairing certain types of failures of specific items at the property inspected by the Inspector. This warranty is effective on the day that the inspection is
performed. Inspector and Inspector’s client understand that WC is not an employee, agent, supervisor, or representative of the Inspector, and WC bears no responsibility for the acts or
omissions of the Inspector other than with regard to the warranty provided by WC. By accepting the benefits of this warranty, Inspector’s client agrees to all of the terms and conditions set forth
herein. By accepting the benefits of this warranty, Inspector’s client agrees to all of the terms and conditions set forth herein, and grants Inspector a full and complete release from further liability
as set forth in paragraph 46.
I. One Hundred-Day Limit / $1,000.00 Limit
This 100-day limited warranty is effective from the date of the home inspection for period of
100 days. The date of the inspection is the first day of the 100-day period. If closing occurs
after the expiration of the one 100-day period, the warranty will extend twenty-one (21) days
following the closing, provided that the closing takes place within 121 days of the inspection.
WC must receive any notice of a claim on or before the expiration of the 100-day period (or,
if applicable, the 21-day period following the closing) or the warranty is no longer valid.
WC’s maximum liability, in the aggregate, for any and all claims submitted pursuant to this
warranty for any and all covered appliances, systems and components shall not exceed
$1,000.00. No person may make a claim under this warranty who does not have legal title to
the subject property at the time of the claim.
II. Coverage
WC agrees to provide a payment for the covered costs to repair or replace the items listed in
this warranty as being covered if any such items fail or become inoperable during the term of
this warranty due to mechanical failure caused by routine wear and tear, subject to the terms
and conditions of this warranty. “Mechanical failure” occurs when an item becomes
inoperable or unable to perform its designed function. Mechanical failure is not covered if it is
due to: conditions that existed prior to the inspection date; lack of routine maintenance and
care; misuse; and rust and/or corrosion. This warranty provides coverage only for those items
(appliances, systems or components) listed in this warranty as being covered. The lists of
items in the following sections titled “Examples of items/conditions not covered” are not
meant to be all-inclusive and are provided for example and illustration. They do not limit the
right of WC to decline coverage for items not on the lists. The claim payment will be prorated
according to the age and condition of the item. Determination of the amount of the cost
of repair or replacement will be made solely by WC. Determination of the operating
condition and the nature of any failure or inoperability will be made solely by WC.
Determination of coverage for any claim will be made solely by WC.
III. Appliances
1. Kitchen Appliances
Description of items covered: The item covered must be an installed and permanent
appliance in the primary kitchen limited to the range/stove/cook-top, oven, garbage disposal,
exhaust fan unit located above the range, and built-in dishwasher. On the day of the
inspection, the item must be visually observable and readily accessible; inspected by the
inspector; not reported in need of correction, repair, or improvement; not reported in need of
monitoring or further evaluation; not reported with any deficiency; not older than ten (10)
years of age; not approaching, near, or at the end of its service life expectancy. Examples of
items/conditions not covered: Commercial, high-end, or professional grade appliances;
clothes washer and dryer; refrigerator; freezer; cooler; trash compactor; damage to cookware;
doors; door seals and glass; filters and screens; food spoilage; ice makers; ice and liquid
dispensers; water supply lines; knobs and handles; light bulbs and fixtures; locks and handles;
cabinetry and panels; racks; rollers; rooftop or through-wall exhaust units; timers and clocks;
self cleaning feature; any appliance 10 years of age or older.
IV. Systems and Components
The item covered must an installed and permanent system or component of the home. On the
day of the inspection, the item must be within the scope of a home inspection as defined by
the Standards of Practice to which the inspection was performed; visually observable and
readily accessible; inspected by your inspector; not reported in need of correction, repair, or
improvement; not reported in need of monitoring or further evaluation; not reported with any
deficiency; not older than fifteen (15) years of age; not approaching, near, or at the end of its
service life expectancy.
1. Roof Covering
Description of items covered: The standard materials that make up the roof covering that
are in need of repair or replacement to correct a water leak; flashing around sewer vent pipes;
flashing at chimney; flashing at wall-to-roof intersection. The roof system must be inspected
at the time of the inspection. Examples of items/conditions not covered: Replacement of
the entire roof covering; sheathing or deck boards under the roof covering; tar or felt paper;
drip edge material; structural components damaged by excessive roof covering weight; any
roof covering material that is 15 years of age or older.
2. Primary Central Air Conditioning (Cooling) System
Description of items covered: Standard mechanical parts and components of one (1)
centrally ducted air conditioning system. One system with maximum capacity of five tons, and
designed for residential application. The system must be turned on and activated during the
home inspection, weather permitting. Examples of items/conditions not covered: Wall
units; window units; condensate drain pans, pumps, and lines; asbestos insulated ductwork or
piping; embedded, encased, or inaccessible ductwork; duct cleaning; dampers; air or fuel
filters; fossil fuel control systems; energy management systems; geothermal or water source
systems and components, including wells, pumps, coils and piping; heat recovery units;
humidifiers; refrigerant gas lines internal and external of the equipment; gas or water filters;
maintenance and cleaning; panels and cabinetry; registers, grills, diffusers; structural
components; water pumps; valves and lines external of the equipment; water cooling towers;
gas or chilled water systems; any noise without a related mechanical failure; any air
conditioning system that is 15 years of age or older.
3. Primary Central Heating System
Description of items covered: Standard mechanical parts and components of one system,
either hot-water/steam heating system or centrally ducted forced-air heat pump/electric/gasfired/
oil-fired heating system. Electric baseboard units are covered, if they are the primary
source of heating the property. The system must be turned on and activated during the home
inspection, weather permitting. Examples of items/conditions not covered: Chimneys,
flues, and liners; condensate drain pans, pumps, and lines; asbestos insulated ductwork or
piping; inaccessible water/steam pipes; embedded encased or inaccessible ductwork; duct
cleaning; dampers; air filters; fuel control systems; energy management systems; geothermal
or water source systems and components, including wells, pumps, coils, and piping; heat/air
recovery units; humidifiers; refrigerant gas lines external of the equipment; panels and
cabinetry; registers, grills, diffusers; structural components; water pumps; valves and lines
internal and external of the equipment; fuel storage tanks, lines, and filters; fuel filters;
individual space heaters; secondary units; free-standing or portable heating units;
maintenance and cleaning; pressure regulators; radiant heating systems in walls, floors, or
ceilings; any noise without a related mechanical failure; solar heating systems; gas log
systems, including gas lines and valves; fossil or solid fuel burning or gas burning stoves,
fireplaces, inserts and units; wall units; window units; any heating system that is 15 years of
age or older.
4. Plumbing System
Description of items covered: Standard mechanical parts and components of the following
items that are located within the perimeter of the main foundation and outer load-bearing
walls: water valves; shower and tub valves; toilets; leaks at water supply pipes and leaks at
drain, waste, and vent pipes, except those caused by plumbing stoppages/blockages. All
fixtures, including but not limited to tubs, showers, sinks, faucets, and toilets, must be
inspected and turned on with running water and then drained during the home inspection.
Examples of items/conditions not covered: All plumbing in or under the ground,
foundation, floor, or concrete slab; inaccessible plumbing; all piping and plumbing outside the
perimeter of the foundation and outer load-bearing walls; any piping or plumbing related to
detached structures; geothermal or water source systems and components, including wells,
pumps, coils, and piping; bath tubs; bidets; caulking or grout; embedded plumbing; conditions
of insufficient or excessive water pressure; conditions of water flow restriction due to scale,
rust, minerals and other deposits; holding or pressure tanks; pressure regulators; plumbing
stoppages/clogs/blockages; conditions, leaks, or breaks causing or caused by plumbing
stoppages/clogs/blockages; exterior hose bibs; faucets; freeze damage; jet pumps; laundry
tubs; lawn sprinkler systems; repair and finish of any walls, floors, or ceilings; septic systems
on-site tanks and components; sewage ejector or grinder pump systems; gray water drainage
or pump systems; sewer, water, and gas laterals; shower enclosures and base pans; shower
heads; sinks; sink cabinetry; solar systems; toilet tank lids and seats; water damage; any noise
without a related mechanical failure; color or quality of the water; water filters; water
purification systems; water softeners; private wells, pumps, lines and related components;
polybutylene plumbing; whirlpools, spas, saunas, hot tubs, and their plumbing and
mechanical components; swimming pools and related structures, components, and systems.
5. Hot Water Source System
Description of items covered: Standard mechanical parts and components of one hot
water source (water heater), including electric or fuel-fired water heater tank, tankless water
heater, and domestic coil of a boiler. The hot water source must be turned on and producing
hot water during the home inspection. Examples of items/conditions not covered: Solar
and heat recovery units; auxiliary and secondary holding/storage tanks; geothermal or water
source systems and components, including wells, pumps, coils, and piping; base pans; color or
quality of the water; flues; vent pipes; insulation; any noise without a related mechanical
failure; point of service and/or instant hot water dispensers; racks; straps; timers; meters;
sediment build-up; conditions of insufficient or excessive water pressure; conditions of water
flow restriction due to scale, rust, minerals and other deposits; domestic coil unit separate
from a boiler system; boiler mates; secondary tanks; any hot water source that is 10 years of
age or older.
6. Electrical System
Description of items covered: Standard mechanical parts or components located within
the perimeter of the main foundation and outer load-bearing walls, including standard light
switches, main breaker panel/box, and wall receptacles. A representative number of wall
receptacles, lights, and switches must be inspected. The electricity and supply at the entire
property must be turned on and fully operable and active during the inspection. Examples of
items/conditions not covered: Attic, bathroom, and/or whole house exhaust/ventilation
fans; direct current (DC) wiring and systems; back-up power systems; door bells and chimes;
exterior wiring and components; any wiring or components servicing a detached structure;
exhaust fans; fire, smoke, or carbon monoxide alarm and/or detection systems and batteries;
intercom or speaker systems; lighting fixtures; surge protectors; load control devices; low
voltage systems; service entrance cables; telephone systems; timers; touch pad components;
transmitters and remote controls; utility meter base pans; wall and ceiling fans; knob & tube
wiring; aluminum branch circuit wiring. Failures, damage, and conditions caused by incorrect,
improper, or inadequate wiring installation, wiring capacity, circuit overload, power
failure/shortage or surge, and corrosion caused by moisture are not covered.
7. Garage Door Opener
Description of items covered: Standard mechanical parts and components of a single
primary unit as follows: drive trains, motor, receiver, relays, switches and sensors. The garage
door opener must be activated and inspected during the home inspection. Examples of
items/conditions not covered: Batteries; damage caused by door malfunctions; all door
parts including door panels, tracks, rollers, hinges, cables and springs; lights; touch
pads/buttons; transmitters and remote controls; electrical supply wiring; any opener that is 10
years of age or older.
9. Sump Pump
Description of items covered: Standard mechanical parts and components of the pump
assembly located within the perimeter of the main foundation and outer load-bearing walls.
The pump system must be installed and inspected during the home inspection. Examples of
items/conditions not covered: Any unit located outside the property or inside window
wells; any unit not professionally or adequately installed; back-up power units; sump buckets
or containers; underground piping; pumps not professionally installed to code or standard.
10. Jetted Bathtub
Description of items covered: Mechanical parts and components of the bathtub as follows:
accessible electrical controls; accessible plumbing lines; primary circulating pump and motor;
drain pipes; gaskets; jets. The tub must be filled and the jets turned on during the inspection.
Examples of items/conditions not covered: Bathtub shell itself; caulking and grout;
conditions of water flow restriction due to scale, rust, minerals and other deposits; failures due
to dry operation of equipment; gaining access to electrical and plumbing parts; tiles and
marble; tub enclosure.
11. Structure System
Description of items covered: Standard parts and components as follows: Load-bearing
components of the home which are the foundation system, beams, girders, lintels, columns,
floor joists, plates, roof framing rafters and trusses that were readily visible and inspected
during the inspection; sections of the poured concrete and concrete block foundations that
were readily visible and inspected during the inspection are covered. Examples of
items/conditions not covered: Foundations other than poured concrete and concrete
block; defects caused by settlement or movement of the structure; any and all parts of the
foundation and load-bearing components not readily visible during the home inspection;
footings; defects, failure, problems caused by hydrostatic pressure or other forces coming from
the ground outside the foundation exterior surface; exterior drainage systems; grading of soil
or the ground outside; damage caused by wood-destroying insect infestation; non-load
bearing components; wall coverings; plaster, lath, drywall; flooring and sub-flooring material;
brick, stucco, stone or veneer; any type of exterior siding material, including wood, vinyl, EIFS,
and stucco; trim and finish boards; basement, crawlspace, and garage concrete floor slabs;
interior concrete floor slabs; concrete cracks or scaling.
V. General Exclusions and Limitations
1. This warranty provides coverage for the mechanical failure of only those appliances,
systems, and components listed as covered. This warranty does not cover any items not
specifically listed as covered.
2. This warranty shall not cover any items if they are determined to be defective by the
Consumer Product Safety Commission or the manufacturer.
3. This warranty does not cover failures which may result from causes other than ordinary
wear and tear, including but not limited to: improper installation; lightening strikes;
missing parts; animal, pet, or pest damage; power failure; power surge; fire; acts of God
or Nature; flood; freeze damage; water damage; or the tortious or criminal acts of
others.
4. This warranty does not cover failures, damage, or conditions resulting from or caused by
mold, mildew, mycotoxins, fungus, bacteria, virus, condensation, water, water leaks,
water penetration, moisture, wet or dry rot regardless of the source, origin, or location
and any other cause or condition contributing concurrently or in any sequence to the
mechanical failure.
5. This warranty does not cover upgrading or making modifications or improvements.
6. This warranty does not cover costs associated with construction, carpentry, or other
modifications made necessary by the repair or replacement of existing equipment or
installing equipment. This warranty does not cover cosmetic repairs.
7. This warranty does not cover the removal and disposal of old appliances, systems, or
components.
8. This warranty does not cover appliances, systems, or components deemed by MWC as
commercial-grade or not standard.
9. This warranty does not cover asbestos insulation.
10. This warranty does not cover any secondary, incidental, consequential, special and/or
punitive damages that results from or was caused by a failure, defect, or problem.
11. This warranty does not cover repairs or replacements of any item covered by other
insurance, warranties, or guarantees.
12. This warranty does not cover insulation in the attic, walls, ceilings, or floors. This
warranty does not cover the absence, presence, inadequate thickness, or improper
installation of insulation.
13. This warranty does not cover systems or components that are beyond the scope of a
home inspection according to the Standards of Practice to which the inspection was
performed. The Standards of Practice should be clearly identified in the home
inspection report.
14. This warranty does not cover auxiliary or detached structures, and all systems and
components related to those structures; playground structures and equipment;
landscaping structures, ponds, and water pools; and swimming pools and related
systems and components.
15. This warranty does not cover water penetration or moisture infiltration into the
structure, including flooding, water leaks, and roof leaks.
16. This warranty does not cover any property damaged resulting from or caused by water
or moisture.
17. This warranty does not cover potentially hazardous plants or animals including, but not
limited to, rodents, vermin, wood destroying insects, wood destroying organisms or
diseases harmful to humans including molds or mold-like substances.
18. This warranty does not cover the presence of any environmental hazards including, but
not limited to, asbestos, radon, lead, toxins, carcinogens, noise, and contaminants in
paint, soil, water, air, and building material.
19. This warranty does not cover the removal, repair, or replacement of walls, ceiling,
flooring, roof covering, or masonry in order to repair or correct.
20. This warranty does not cover improvements, modifications, upgrades and bringing-up
to code, rule, or regulation.
21. This warranty does not cover damages or conditions caused by violations of code or
building standards, whether federal, state, or local.
22. This warranty does not cover regular maintenance, service, and care of systems,
components, and appliances. This warranty does not cover conditions, damage, failure,
or inoperability caused by or resulting from lack of regular maintenance, service, and
care. This warranty does not cover conditions that existed prior to the inspection date;
lack of routine maintenance and care; misuse; and rust and/or corrosion.
23. This warranty does not cover interior flues of chimneys, stoves, or fireplaces.
24. This warranty does not cover failure caused by rust, corrosion, or moisture.
25. This warranty does not cover improvement or correction of the soil or ground, or
grading.
VI. Properties Eligible for Coverage
This warranty covers a single-family residence, including condominium or townhouse used
solely for residential purposes. Two-unit multi-family property (duplex) owned and operated
as a residential income producing property is also eligible for coverage. Multi-family
residential income property of more than two units is not eligible for coverage. Any dwelling
used in whole or in part for commercial purposes will not be covered. Mobile homes are not
covered. Homes listed in any historical register are not covered. Common area items shared
by non-warranted units are not covered.
VII. Warranty Payment Limits
26. Under any and all circumstances, the maximum liability, in the aggregate, for any and
all claims submitted per term of this warranty for any and all covered appliances,
systems and components shall not exceed $1,000.
27. The maximum liability, in the aggregate, for any and all claims submitted per term of
this warranty for any and all covered appliances in the primary kitchen shall not exceed
$250.
28. The maximum liability, in the aggregate, for any and all claims submitted per term of
this warranty for any and all covered items of the roof covering system and structure
system shall not exceed $500.
29. The maximum liability, in the aggregate, for any and all claims submitted per term of
this warranty for any and all covered items of the air conditioning and heating systems
shall not exceed $500.
30. The maximum liability, in the aggregate, for any and all claims submitted per term of
this warranty for any and all covered items of the garage door opener system, sump
pump system, and jetted bathtub system shall not exceed $500.
VIII. Making a Claim
To make a claim, the following must be completed immediately:
31. Contact MWC at 1-800-671-4351 or submit a claim through the web site.
If you fail to notify MWC of any failure or problem
prior to the expiration of the 100-day limit of this warranty during which the failure
occurred (or, if applicable, the 21-day period following the closing), the warranty is
invalid.
32. Written notification of claim must be mailed to MWC at the address above.
33. An itemized estimate or repair invoice of an independent contractor must be submitted
to MWC. MWC reserves the right to request a second opinion prior to determining
eligibility for coverage. Determination of the amount of the cost of repair or
replacement will be made solely by MWC. Determination of the operating condition
and the nature of any failure or inoperability will be made solely by MWC.
Determination of coverage for any claim will be made solely by MWC.
34. The full home inspection report, inspection agreement, and the seller’s disclosure must
be submitted to MWC.
35. The original of the last page of this document with the inspector’s name and signature,
inspector’s ID number, and the date of the home inspection must be submitted to MWC.
DO NOT SUBMIT A COPY.
IX. Other Legal Provisions
36. The exclusive venue for any legal action by any person or entity against MWC, its
directors, officers, shareholders, agents, or employees arising out of this warranty or the
facts and circumstances surrounding it shall be in the District Court of Boulder County,
Colorado. If MWC substantially prevails in any such action, the other party shall pay
MWC’s reasonable attorneys fees and costs.
37. This warranty is non-assignable.
38. This warranty may not be modified, except in a writing signed by an authorized officer
of MWC.
39. This warranty correctly sets forth the final and entire terms of the warranty and it is
intended as a complete and exclusive statement of the terms of the warranty. Any prior
communications between MWC and inspector and/or the homeowner are merged into
this warranty.
40. Inspector is not authorized to alter the terms of this warranty.
41. The fact that MWC drafted this warranty should not be considered in determining the
intent with regard to any term a court finds to be ambiguous.
42. Actions against MWC under this warranty may be covered by the provisions of the
"Colorado Consumer Protection Act" or the "Unfair Practices Act", articles 1 and 2 of title
6, C.R.S., and a party to such a contract may have a right of civil action under such laws,
including obtaining the recourse or penalties specified in such laws. Any person
attempting to assert a claim against MWC pursuant to similar laws in other states may
do so only in an action in the District Court for Boulder County, Colorado.
43. To the fullest extent permitted by law this warranty shall be governed by the laws of the
State of Colorado.
44. All of the terms of this warranty are binding on the Inspector and Inspector’s client(s).
45. In any legal action of any kind by any person or entity against MWC arising out of this
warranty, MWC’s maximum liability shall not exceed $1,000.00. In no event shall MWC
be liable to Inspector, Inspector’s client, or any other person for consequential or
incidental damages of any kind whatsoever, regardless of the legal theory or theories
relied upon.
46. By submitting a claim and accepting payment from MWC, Inspector’s client fully and
unconditionally releases Inspector, its agents and employees from any further liability of
any kind alleged to arise of Inspector’s inspection of the property, regardless of the legal
theory employed, including all claims whether known or unknown.
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