Am I required to disclose the presences of polybutylene (“poly”) pipes to prospective buyers?

 

Polybutylene is a form of plastic pipe used in residential plumbing until the late-1990s. Poly-pipes are well known in the industry for their propensity to fail. Some residential insurance policies won’t cover damage from poly-pipe failures. Nevertheless, Virginia law does not require Sellers to disclose the existence of poly-pipes. REALTORS® may have a disclosure obligation under Article 2 of the Code of Ethics if the existence of poly-pipes is a “pertinent fact” of which the REALTOR® has actual knowledge. The determination of whether or not the presence of poly-pipes in a property is a “pertinent fact” for which disclosure is required is determined by a Professional Standard Hearing Panel. However, the harm from premature failure is well known, has resulted in countless news articles and lawsuits, and therefore could certainly be pertinent to a reasonable buyer.


Commercial Council