Environmental Hold Harmless?
I am in the process of relocating a restaurant into a larger location. I have a prime location picked out that has been vacant for sometime. I received the information on the property and everything looks good except that the seller is asking me to "hold him harmless from any and all environmental problems" He has conducted a phase 1 environmental study which recommended a phase 2 study be done. The seller is refusing to allow me to conduct the phase 2 on my dime due to the fact that it might trigger clean up requirements from the EPA. I am wondering if I buy this property will transfer of title trigger action by the EPA? Are there environmental attorneys?
There are attorneys who specialize in this area of the law. I don't know if any of them are on this site. Contact some environmental consultants in your area for names of local env'l attorneys.
The seller's refusal to allow you to have a Phase 2 done during your feasibility period and his wanting you to indemnify him raise big red flags.
I don't think the seller is being candid with you about the reason for not doing a Phase 2 now. It may be his real reason is to sell you the property and leave you no options but a big mitigation bill once you buy it and do a Phase 2. Obviously, until the Phase 2 is done, you won't know the extent of the contamination.
His insistence that you indemnify him, to me, is practically an admission by the seller that he knows more than he's saying.
Get yourself an attorney.