Broker Pressure to Soften a Roof Finding
Your firm is hired by an out-of-state buyer to inspect a 30,000 sq ft retail center. In your draft report, you describe a 60-mil TPO roof with widespread seam separation, ponding, and active ceiling leaks as a material defect requiring further evaluation. The seller's broker, who has referred several clients to your firm, calls you. He says the roof is "just ponding" and asks you to remove the word "defect" and replace it with "maintenance item" so the deal can close. He offers to pay for a follow-up inspection if you revise the report. Your report is due in 18 hours. The buyer has not seen the draft and has not authorized you to speak with the broker. Your contract includes a scope that says the inspection is a visual, non-invasive review and that the report is for the buyer only.
1. How should you respond to the broker?
Read the worked answer
Do not discuss the draft report's contents with the broker. The contract limits the report to the buyer, and the buyer has not authorized release to the seller's broker. Thank the broker for the call, state that you cannot discuss the report or accept instructions from anyone other than the client, and end the conversation. Do not accept the offer to pay for a follow-up inspection; that creates an actual or apparent conflict and could be characterized as an inducement to change findings. Follow up in writing to the broker confirming that you will communicate only with your client. Then notify the buyer that the broker contacted you, summarize the contact factually, and ask whether the buyer wants you to speak with the broker or seller. Document the date, time, and content of the call.
2. What report language is appropriate, and what should you not change?
Read the worked answer
Keep the factual observations: widespread seam separation, measured ponding, and active ceiling leaks. Those are the basis for the recommendation. What can be improved is precision, not softening. Instead of a bare label like "material defect," describe the condition, its extent, and the consequence: "observed widespread seam separation and ponding; active ceiling leaks reported or observed; further evaluation by a roofing contractor is recommended before purchase." You may explain that "maintenance item" is not accurate if active leaks and widespread seam separation are present, because that language understates the need for evaluation. Do not remove measurements, locations, or the recommendation for further evaluation. Do not add a conclusion that the roof needs full replacement unless the evidence supports it; the appropriate conclusion is that the roof has material deficiencies requiring contractor evaluation and likely repair.
3. What business and risk management steps should you take?
Read the worked answer
Preserve the draft, emails, phone log, and any revised versions. Send the buyer a short written notice of the broker's contact and the request, without editorializing. Confirm in the report that it is for the buyer's sole use and that the inspector did not accept direction from the seller or broker. Check whether the firm's errors and omissions policy requires notification of a potential claim or complaint; a pressure attempt is not necessarily a claim, but the file should be documented. Review the referral relationship and disclose it if it could affect independence. Do not accept payment from the broker, and do not let the 18-hour deadline justify skipping client authorization. If the buyer directs you to speak with the broker, get that authorization in writing and keep the conversation limited to factual clarifications.