Inspection Agreement

Home Inspection Agreement
This is a contract entered into by the undersigned client (“Client”) and Stewart Property Inspections LLC (“Stewart
Property”), with Rhonda Stewart as the designated Inspector (“Inspector”). Both parties agree to the following terms
and conditions, as defined below.
The Client has requested and authorized Stewart Property to conduct a limited visual inspection of the structure
located at and identified by the above-described address, as agreed upon by both parties. The Inspector, acting as an
employee of Stewart Property, agrees to complete a Home Inspection in accordance with the Standards of Practice of
the North Carolina Inspector Licensure Board (the “NCHILB SOP”) on behalf of the client on the agreed-upon
property as described in this contract. For further details regarding the NCHILB SOP, please visit the North Carolina
Inspector Licensure Board website.
This Contract must be signed and acknowledged before the Home Inspection can be performed. The Client is
encouraged to discuss any or all aspects of this contract with their legal counsel and/or the Inspector before executing
this agreement. This Contract details the agreed-upon Services, Scope of the Home Inspection, Limitations of the
Scope, General Terms and Conditions, including Client’s Duties and Responsibilities, Payment and Cancellation,
Limitation of Liability, Liquidated Damages, and Dispute Resolution.
Now, therefore, in consideration of the mutual covenants and promises set forth in this Contract and other
consideration, the receipt and sufficiency of which is hereby acknowledged, intending to be legally bound, the Parties
agree as follows:
 

Scope of the Home Inspection
The Home Inspection is a non-invasive, limited visual inspection of the home that shall be performed as a survey of
its current condition. The purpose of the Home Inspection is to provide the Client with a better understanding of the
property's condition as observed at the time of the Home Inspection.
After the completion of the Home Inspection, Stewart Property shall provide the Client with a written Report of the
Inspector’s observations and noninvasive testing of all accessible systems, components, and conditions of the
property (hereinafter defined as “the Report”). Unless otherwise stated, the Report shall include observations of the
following systems and components of the home if accessible: heating system, cooling system, plumbing system,
electrical system, structural components, foundation, roof, masonry structural components, exterior and interior
components. The Report will describe any system or component that appears not to function as intended (allowing
for wear and tear that does not prevent intended functioning), based upon documented tangible evidence, and that
requires either subsequent examination or further investigation by a specialist. The information presented in the
Report accurately reflects the property's condition at the time of the inspection. The Report does not predict future
conditions or failures.
The Inspector may use an infrared camera during the inspection. However, an infrared camera's abilities are limited;
it can only detect surface temperature. The camera cannot see through or inside walls or other obstacles.
Environmental factors or daily conditions may impact the images captured by the infrared camera.
The Inspector may use a drone as a method to observe the home, but the visual scope of the drone is limited and may
not make a complete observation of all aspects of the home. A drone observation shall not be considered a full and
complete roof evaluation and/or inspection. Both parties agree that Drone observations are not a substitute for a
roofing contractor evaluating the home directly. The Inspector follows all North Carolina State Laws and Federal
Laws pertaining to drone use while observing the home. The Client acknowledges that the execution of this agreement
grants the Inspector permission, or has obtained the current occupant’s permission, to utilize the drone on the above-
described property for the limited purpose of conducting a home inspection.

Limitations to the Scope of the Home Inspection
The Home Inspection is limited to systems and components of the home that are accessible to the Inspector at the
time of the Inspection. It is NOT an absolute or complete inspection of the property or its systems and components
due to the limited noninvasive scope, limited permissions, and the fact that the majority of a home's structure and
systems/components are hidden from view and considered inaccessible.

Both parties acknowledge that the Report shall be limited to observations and recommendations made with respect to
the home. Inspectors are not required to Report on the following: life expectancy of any component or system; the
causes of the need for a repair; the extent of the defect, methods, materials, and costs of corrections; the suitability of
the property for any specialized use; identification of water and or sewer as private or public; compliance or non-
compliance with codes, ordinances, statutes, regulatory requirements or restrictions; the market value of the property
or its marketability; the advisability or inadvisability of purchase or sale of the property; any component or system
that was not inspected, the presence or absence of pests such as wood damaging organisms, rodents, or insects; or
items not permanently installed. Thus, the Client acknowledges the inherently subjective nature of the inspector’s
opinions regarding issues such as workmanship, quality of the original installation, and estimating the remaining
useful life of any given component or system. The inspector’s opinions are formed without detailed knowledge from
those specifically familiar with the components or the system’s performance.
The Client acknowledges that an Inspector cannot identify problems or conditions that are out of view or have been
intentionally concealed. The Home Inspection does not include lifting carpets, looking behind vinyl or other siding
materials, removing ceiling panels, removing insulation, removing vapor barriers, moving furniture, moving personal
items, moving refrigerators, moving laundry appliances, disassembling heating and cooling systems for inspection of
heat exchangers, coils, fans, or of interior duct surfaces.
The Client acknowledges that the following is a brief list of items that are beyond the scope of this Home Inspection,
acknowledges that an additional list is available for review within the NCHILB SOP: building code verification, load
bearing alignments, heating and air conditioning sizing, availability of repair parts, availability of refrigerants,
identification of refrigerant types, energy efficiency, suitability for intended use, detached building, garden walls,
driveway retaining walls, wood burning inserts stoves, water softening systems, wells, septic systems, floor/wall
coverings, conditions of materials covered during remodeling or upgrades, absence or presence of window fall
protection devices, cosmetic defects, cosmetic defects for appliances, paint conditions, odors, pet odors,
cigarette/cigar/personal smoking device odors, mold, mildew, asbestos, rodents, bats, insects, sanitary conditions,
abandoned wells, abandoned fuel storage, buried fuel tanks, failed hermetic window seals, window air conditioning
units, central vacuum systems, hot tubs, spas, saunas, swimming pools, electrical systems for spas/hot
tubs/pools/campers/generators, generator systems including generators and all power generated related electrical
components, elevators, solar systems, automotive and golf cart charging and back-up battery power systems,
playground equipment, sprinkler systems, underground utilities such as electrical and plumbing, antennae, tool
sheds, phone lines, cable lines, irrigation systems, portable heating or cooling equipment, chimney flue liners, fire
damage, washing machine drains, exterior / interior floor or surface drains, dryer ducts, tub/sink overflow drains;
refrigeration appliances including but not limited to refrigerators, built in refrigerators, and wine cooler; materials
and building components behind/under dishwashers, refrigeration systems, cooking appliances, and laundry
appliances; intercom systems, alarm systems, mineral deposits/surface chips/scratches to plumbing fixtures, and
driveway surfaces. The scope of the inspection of retaining walls will be with respect only to their effect on the
immediate condition of the foundation of the home and will be limited to walls under four feet in height. The Client
should consult an engineering professional for all properties with retaining walls located more than four feet from the
foundation of the home, and or retaining walls four feet or greater in height.
The Client acknowledges that the following are processes that are outside of the scope of a Home Inspection process
does NOT include the following: Entering any area or performing any procedure that may damage the Property or its
components or be dangerous to or adversely affect the health or safety of the Inspector or other persons; Operating
any system or component that is shut down or otherwise inoperable; Operating any system or component that does
not respond to normal operating controls; Moving personal items, panels, furniture, equipment, plant life, soil, snow,
ice, or debris that obstructs access or visibility; Determining the need for or the effectiveness of any system installed
to control or remove suspected hazardous substances such as radon, air pollution, and or mold; Prediction of future
condition including seasonal water penetration, failure of components; Projecting operating or replacement costs of
components; Inspecting special equipment or accessories that are not listed as components to be inspected in the
NCHILB SOP; Disturbing insulation, except as required in Rule .1114 of the NCHILB SOP when hazardous conditions
are not present.

The Client acknowledges that health and other environmental issues are beyond the scope of the Home Inspection.
The Home Inspection shall not include an environmental evaluation, nor will the Home Inspection include
assessments related to environmental concerns. This exclusion includes but is not limited to determining the
presence or absence or necessity to remove any suspected adverse environmental condition or hazardous substance,
including mold, toxins, odors, carcinogens, asbestos, noise, radon, contaminants in the building or in soil, water, and
air, and contaminants in the building or in soil, water, and air related to adjacent activity such as gas stations,
landfills, chemical plants, dry cleaners, and waste sources (e.g. septic tanks).
The Client acknowledges that building components may have surface discolorations, decay, mold, and/or mildew
related to environmental conditions and seasonal wear and tear. However, the Inspector focuses only on moisture
concerns and evidence of wood damage. Furthermore, the Inspector only considers fungal growths, such as mold, as a
sign of water penetration or condensation that may lead to potential harm to the inspected system and its
components. The Inspector is not responsible for identifying fungal growths, such as mold, or determining if fungal
growths, including mold, should be removed or cleaned from any surface, system, or component. Health issues
related to the presence of mold are beyond the scope of the Home Inspection. If the Client has concerns related to the
environmental health of the home or the presence of allergens, fungal growths such as mold, mildew, or any other
undesirable environmental condition, an industrial hygienist should be consulted to conduct an environmental
inspection.
The Client acknowledges that the inspection access varies depending on the state of the subject property, such as
whether it is occupied or vacant. Therefore, the ability to gather tangible evidence varies depending on the state of the
subject property. Unless otherwise noted, the client should assume that the property was occupied during the
inspection.
Both Parties acknowledge that a Home Inspection of a new, newly remodeled, or vacant home should be considered
incomplete or preliminary until system loads are applied. Due to the limited scope, a second inspection is
recommended in 6 to 12 months.
Please Note: The Client and the Inspector may agree to a Radon Survey, Mold and Air Quality Inspection, Water
Testing, and/or the Client may agree to additional services as facilitated by the Inspector and performed by a third
party. Unless otherwise agreed to in writing, these services are not within the scope of a Home Inspection. If both
parties agree to additional services in writing, these services shall be considered to fall within the scope of the home
inspection and be fully covered by the terms and conditions of this contract.

General Terms and Conditions
The Client acknowledges that the Home Inspection is NOT an absolute, complete inspection. Therefore, both parties
acknowledge that Stewart Property cannot guarantee that all defects will be located, recognized, identified, or
reported. The Home Inspection will be performed to the best of the Inspector’s ability, and the Inspector shall make
every effort to correctly identify or describe systems and/or components where required by reporting standards. The
Client acknowledges that the Inspector is a generalist and does not act as an expert in any specific trade. Further, the
Client acknowledges that the Inspector does not assume any liability for incorrect descriptions, such as listing
incorrect systems, components, materials, or types. Further, the Client acknowledges that Stewart Property accepts
no liability for the cost of repair or replacement of unreported defects or deficiencies, either current or arising in the
future. The Client acknowledges that no inspection can eliminate the uncertainty regarding the performance of the
building’s systems and the presence of hidden physical deficiencies.
Both parties acknowledge and agree that the Inspector is not an insurer, and that payment for the inspection is based
solely on the value of the inspector's services and the production of the report.
The Client acknowledges that no inspection can eliminate the uncertainty regarding the presence of physical
deficiencies and the performance of the building’s systems. The Inspector shall make every effort to correctly identify
or describe systems and/or components where required by reporting standards.
The Client acknowledges that the Inspection Contract, Inspection, and Report do not imply a warranty or guarantee
that the home or the Inspection will be without flaw. The Inspector’s opinions are formed without detailed knowledge

from those specifically familiar with the components or the system’s performance. If the client desires a more detailed
or invasive inspection, the Report provided for this inspection should be used only as a preliminary inspection, and a
fully invasive inspection should be obtained. If this type of inspection is desired or needed, an engineering company
specializing in construction defects should be consulted.
The Client acknowledges that the preparation of the Report in accordance with this contract is intended to reduce, but
not eliminate, uncertainty regarding the potential for component or system failure.
The Report will be delivered by a mutually agreed-upon date, in writing, determined by the conditions of the home
during the inspection or three business days of the final site visit of the inspected property, as provided by the
NCHILB SOP. The Report delivery date may be modified after the date of the inspection at Stewart Property’s
discretion, so long as it is communicated in writing to the Client prior to three business days after the date of the
inspection.
The Client acknowledges that Stewart Property reserves the right to amend the Report to correct typographical or
other errors. This contract covers the original Report, any amendments, and any addenda to the Report, including re-
check inspections when applicable. If the Client has reason to believe that there is an omission, typographical error,
error, or deficiency in the inspection or in the Report, they must notify Stewart Property in writing within 30 days of
the delivery of the Report and make the property available for re-inspection by the Inspector or an expert of Stewart
Property’ choice. Repairs or property modifications must NOT be made prior to re-inspection.

Client Duties and Responsibilities
The Client may not attend the Home Inspection as the Inspector performs the Inspection. The Client may request to
follow the Inspector after the Inspector has performed a preliminary inspection, provided notice is given at the time
the Inspection is scheduled. However, the Client assumes all risks involved with attending the said Home Inspection
and shall hold the Inspector harmless for any injuries that may befall the Client during the Home Inspection. The
Client shall not follow the Inspector into attics, crawl spaces, onto roof surfaces, or into any utility areas.
The Client shall not rely on any oral statements made by Stewart Property and/or the Inspector prior to issuance of
the report, as the report is a final and complete representation of all observations, including any and all statements
made during any observation of the Inspection. The Client and Company agree that the Report may not include any
advice, commentary, or notes beyond what is permitted in the NCHILB and described in the Scope of this agreement.
The commentary requested by a client should be considered an informal representation outside of the scope of the
Home Inspection. However, due to the concurrent nature of any informal representation and the Home Inspection,
any informal commentary is subject to the dispute resolution clause of this contract.
The Client acknowledges that the Report shall be prepared solely and exclusively for the undersigned Client’s own
information and may not be relied upon by any other person. The client agrees to maintain the confidentiality of the
Report. The client may only distribute copies of the Report to other persons directly involved in this transaction, but
Client and Inspector must not, in any way, intend to benefit said other persons directly or indirectly through this
Contract, the inspection, or the Report unless expressly agreed upon in writing. The Client acknowledges that the
Report is the property of the Inspector and may not be published/posted on the Internet in any manner for any usage
except Report delivery at the time of the transaction.
The Client is responsible for ensuring that the Home is secured and prepared for inspection. The Client may need to
coordinate with the Seller and /or the Seller’s agent to ensure that all pets are secured in a separate location. The
Inspector may not inspect an area where a pet is secured.
The Client is responsible for reading the complete Report and following up with further investigation and repairs.
The Report shall be considered the final and exclusive findings of the Inspector regarding the Home Inspection. The
Client agrees to acknowledge and follow all recommendations and or directions per the Report prior to the sale or
purchase of the home. Failure to pursue the due diligence path recommended in the Report relieves Stewart Property
from all related liability.

The Client agrees to notify the Inspector in writing in the event the Client discovers a material physical deficiency in a
component, system, or equipment of the building that was within the scope of this inspection and not identified and
reported by the Inspector and allow the Inspector and/or Company’s designated representative to re-inspect and
document the condition(s) of the material physical deficiency prior to making any repair, alteration, or replacement to
said physical deficiency. The Client agrees to exercise reasonable care in considering all facts that are known to or are
within the diligent attention of the Client in determining the condition of the building.
The Client acknowledges that it is their responsibility to obtain or directly request written disclosures from the owner
and or builder regarding HVAC service history, past failures and occurrences that presented defects, all major repairs,
all structural repairs, history of flooding and other harmful water penetration, and all known problems or
construction errors. Further, the Client understands that the current owner and/or the builder are responsible for
disclosing any known defects, remodels, and material facts about the home. Thus, the client acknowledges that not all
defects may be located, recognized, identified, or reported by the Inspector. Further, Stewart Property is not
responsible for any misleading information provided by the seller or for any matter concealed or hidden from the
Inspector.
The Client acknowledges that the report is provided solely for their benefit and shall not transfer, sell, publish, or post
the report without the prior written consent of both parties.

Payment
Both parties agree that full payment of the Inspection Fee shall be due prior to the delivery of the Inspection Report
unless the parties have agreed to a different agreement in writing prior to the execution of this Agreement. Payment
shall not be contingent upon any condition(s). This contract does not include the cost for re-inspection of the above
property. Payment may be made via credit card, agreed-upon electronic payment method, or cash.

Cancellation
The Client acknowledges that if the Client cancels the inspection at least 48 hours before the scheduled site visit, all
fees will be refunded. If the Client cancels the inspection with less than 48 hours' notice before the scheduled site
visit, the Client will be charged a service fee equal to the Inspection Fee, which may be waived at the Inspector's
discretion.
The Client acknowledges that Stewart Property and the Inspector reserve the right to cancel the services at any time,
including during the Home Inspection, without explanation or liability. If Stewart Property and/or the Inspector
cancel the inspection, all fees will be refunded at the time of cancellation.

Liquidated Damages
Both parties acknowledge the uncertainty and limitations of a visual inspection/survey of a home, as described above.
Therefore, both parties agree that it is impractical and extremely difficult to calculate and fix the actual damage, if
any, that may occur from a person’s failure to perform services in relation to the Home Inspection agreed upon in this
contract. Both parties agree to liquidated damages, which shall be limited to an amount equal to the fee paid to the
Inspector for the Home Inspection (the “Inspection Fee”). The Client acknowledges that the liability of the Inspector,
its agents, and/or employees for claims or damages, costs of defense or suit, attorney’s fees, and expenses arising out
of or related to the Inspector’s negligence or breach of any obligation under this Agreement, including errors and
omissions in the inspection or the Report, shall be limited to liquidated damages. Liquidated Damages shall be the
exclusive remedy with respect to all claims or damages. The Client acknowledges that Liquidated Damages shall only
be paid by Stewart Property if the Client signs a Settlement and Release Agreement, which releases both parties from
the contractual relationship and terminates any claims arising from this Contract.
The Client acknowledges that they have the right to amend the liquidated damages clause of this contract prior to the
execution of this contract. The Inspector reserves the right to increase the Inspection Fee if Liquidated Damages are
modified. Further, the Client acknowledges that Legal Counsel is recommended for any modifications or amendments
to this contract.

Limitation of Liability

The Client acknowledges that liability is limited to one year from the day the Report is delivered and that the
liquidated damages described above are the exclusive remedy for said liability.
The Client acknowledges by receiving the Report, the Client has been put on notice of all flaws, defects, and issues
found in the home and/or any possible issues with the report. After one year, the Client waives any claim for
consequential, exemplary, special, or incidental damages or for the loss of the use of the subject property after one
year from the day of the receipt of the Report.

Dispute Resolution
Both parties agree that if a dispute regarding the Inspection or this contract arises, the Inspector may elect to return
his fee in full to the Client as part of a Settlement and Release Agreement prior to any negotiations or legal
proceedings. This shall not be treated as a penalty, liquidated damages, or any form of damages. The Client
acknowledges that the Inspector shall only return the fee if the Client signs a Settlement and Release Agreement. The
Settlement and Release Agreement shall terminate the contractual relationship and shall release the Client from any
current or future claims related to the contract.
Both parties agree to settle any dispute not resolved through a Settlement and Release Agreement, which shall be
resolved through mediation using a neutral third-party mediator in the county where the inspected property is
located. Damages determined during mediation shall be limited to liquidated damages unless the mediator finds the
liquidated damages to be unconscionable based on the facts and circumstances. If the parties fail to reach an
agreement through good faith negotiations, the dispute shall be compelled to arbitration. The arbitrator's decision
shall be final and binding.

Miscellaneous Terms and Conditions
The Client agrees to indemnify and hold harmless the Inspector from any claims, liabilities, damages, or expenses
arising out of or related to the home inspection services provided under this Contract, except in cases of gross
negligence or willful misconduct on the part of the Inspector. Further, the Client agrees to indemnify, defend, and
hold the Inspector Harmless from any third-party claims arising out of the Client’s unauthorized distribution of the
Report.
If any provision of this Agreement shall be declared by a court of competent jurisdiction to be invalid, illegal, or
incapable of being enforced in whole or in part, all remaining provisions thereof shall remain in full force and effect
and enforceable to the extent they are valid, legal and enforceable.
Any breach that may occur due to the Inspector’s performance or failure to perform shall not constitute a waiver of
any provision and Nelson’s, the Inspector’s, and the Client’s rights, duties, and responsibilities as designated under
this contract.
Both parties agree and acknowledge that headings and captions appearing in this Agreement have been inserted for
the purposes of convenience and ready reference and do not purport to and shall not be deemed to define, limit, or
extend the scope or intent of the provisions to which they appertain.
This contract applies to observations made only on the mutually agreed-upon date of inspection. As described in
detail above, additional inspections of the property and services at the Client's request shall be covered by this
contract if both parties mutually agree, in writing, to additional services. Amendments for additional services shall be
fully integrated into this agreement if the writing property references this agreement and includes the scope of the
services to be provided, the fee for additional services, and any modification to terms.

Complete and Final Agreement
Both parties agree that this contract represents the final and complete agreement that both parties have read,
understood, and agreed to all terms and conditions. Further, no oral agreements, understandings, or representations
shall change, modify, or amend any part of this agreement. No change or modification shall be enforceable against
any party unless such changes or modifications are fully integrated and/or in writing, signed by the parties, and
supported by valid consideration.

By signing this agreement, both parties agree and acknowledge that they have been given full and adequate
opportunity to review this agreement in full prior to executing the contract and intend to be bound by the contract
and all terms and conditions herein, which limits the inspector’s liability to a time period not to exceed one year and
liquidated damages. If the Client finds this Agreement to be fair and accurate, they shall execute this document by
providing an electronic signature. Both parties acknowledge that, in lieu of a signature, acceptance of the Report
binds this contract between Stewart Property and the Client.