ENVS201 Lecture Notes - Lecture 15: Caveat Emptor, Title Search, Sole Proprietorship
15 Jan 2017
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Document Summary
Ensure client understands potential liabilities associated with transaction. Perform due diligence inquiries regarding compliance and presence of liabilities. Identify and quantify liabilities in order to facilitate the apportioning of risk and the allocation of costs. Include provisions in transaction documents to protect client"s interests. Vendor ask for environmental documents, (permits, approvals, orders), knowledge of incidents/non- compliance, ems. Should include disclosure of environmental information and permission to investigate as part of transactions: access to material/employees/releases of info held by third parties / permission to do invasive investigations. Third parties information sources: government data bases; private data bases; title search; insurance maps; municipal information. Investigations by purchaser & consultants: phased esa, environmental audit. Affects possible uses to which land may be put: restrictions on use of land for residential/recreational purposes. Purchaser/owner may be required to clean-up or control per administrative order. Purchaser/owner may be required to pay compensation: vendor/lessee may be insolvent/no longer available.
