We’ve received questions from REALTORS^® regarding possible liability to you, your agents, and/or your firm if you do something in a house (whether coming in to a rental with a contractor or taking your buyer-client through a home that is for sale) and a resident later contracts COVID-19. While we believe that your liability in these situations is very low, we’ve drafted “hold harmless” language that you can add to the Additional Terms section of your brokerage agreements and/or leases.

This information is also available in the “Forms FAQ” section of the Virginia REALTORS^® COVID-19 Resources and Updates Page. 

Q: Are you, your firm, and/or your agents potentially liable if someone contracts COVID-19 after you have conducted some activity in the home (such as showing it to a prospective buyer or attending a home inspection)?

A: First, we believe that the potential for you to be held liable in such a circumstance is very low. However, to be safe, we have drafted the following “hold harmless” language that you can include in the Additional Terms section of your brokerage agreements.

In no event shall Broker, brokerage firm, or any agents or employees of the brokerage firm, be responsible for or liable for any claims arising out of the COVID-19 Pandemic; entry into the property by Invited Parties, any person(s) accompanying an Invited Party, or any agent or third party entering the property on an Invited Party’s behalf; or the availability of the property for showing or inspection. Client understands the risks associated with entering properties and/or allowing others to enter their property during the COVID-19 Pandemic. Client releases, waives, discharges, and forever holds Broker, the brokerage firm, and its agents and employees, individually and collectively, harmless from and against claims, damages, losses, and suits arising from or in any way connected with the Pandemic. Invited Parties includes, but Is not limited to, potential buyers or tenants, agents, inspectors, contractors, appraisers, or other third-parties related to a real estate transaction.

Q: Are you, your firm, and/or your agents potentially liable if a tenant contracts COVID-19 after you have conducted some activity in the home (such as conducting a virtual showing or allowing a contractor in to make a repair)?

A: First, we believe that the potential for you to be held liable in such a circumstance is very low. However, to be safe, we have drafted the following “hold harmless” language that you can include in the Additional Terms section of your brokerage agreements.

In no event shall Broker, brokerage firm, or any agents or employees of the brokerage firm, be responsible for or liable for any claims arising out of the COVID-19 Pandemic; entry into the property by Invited Parties, any person(s) accompanying an Invited Party, or any agent or third party entering the property on an Invited Party’s behalf; or the availability of the property for showing or inspection. Tenant understands the risks associated with entering properties and/or allowing others to enter their property during the COVID-19 Pandemic. Tenant releases, waives, discharges, and forever holds Broker, the brokerage firm, and its agents and employees, individually and collectively, harmless from and against claims, damages, losses, and suits arising from or in any way connected with the Pandemic. Invited Parties includes, but Is not limited to, potential buyers or tenants, agents, inspectors, contractors, appraisers, or other third-parties related to a real estate transaction.

Q: Do you have to use the hold harmless language? If so, do you need to go back and add this language into brokerage agreements that you’ve already entered into?

A: No, this language is not required. The risk of your liability in this circumstance is very low even without this additional language, but you can add it if it makes you feel safer. As such, you do not need to go back and add this language into previously ratified brokerage agreements or leases.