SEC. 1018. DISCLOSURE OF INFORMATION CONCERNING LEAD UPON
TRANSFER OF RESIDENTIAL PROPERTY.
(a) Lead Disclosure in Purchase and Sale or Lease of Target
Housing. --
(1) Lead-based paint hazards. Not later than 2 years after
the date of enactment of this Act, the Secretary and the
Administrator of the Environmental Protection Agency shall
promulgate regulations under this section for the disclosure of
lead-based paint hazards in target housing which is offered for
sale or lease. The regulations shall require that, before the
purchaser or lessee is obligated under any contract to purchase
or lease the housing, the seller or lessor shall --
(A) provide the purchaser or lessee with a lead hazard
information pamphlet, as prescribed by the Administrator of the
Environmental Protection Agency under section 406 of the Toxic
Substances Control Act;
(B) disclose to the purchaser or lessee the presence of
any known lead-based paint, or any known lead-based paint
hazards, in such housing and provide to the purchaser or lessee
any lead hazard evaluation report available to the seller or
lessor; and
(C) permit the purchaser a 10-day period (unless
the parties mutually agree upon a different period of time) to
conduct a risk assessment or inspection for the presence of
lead-based paint hazards.
(2) Contract for purchase and sale. Regulations promulgated
under this section shall provide that every contract or the
purchase and sale of any interest in target housing shall contain
a Lead Warning Statement and a statement signed by the purchaser
that the purchaser has --
(A) read the Lead Warning Statement and understands its
contents;
(B) received a lead hazard information pamphlet; and
(C) had a 10-day opportunity (unless the parties
mutually agreed upon a different period of time) before becoming
obligated under the contract to purchase the housing to conduct a
risk assessment or inspection for the presence of lead-based
paint hazards.
(3) Contents of lead warning statement. The Lead Warning
Statement shall contain the following text printed in large type
on a separate sheet of paper attached to the contract:
"Every purchaser of any interest in residential real
property on which a residential dwelling was built prior to 1978
is notified that such property may present exposure to lead from
lead-based paint that may place young children at risk of
developing lead poisoning. Lead poisoning in young children may
produce permanent neurological damage, including learning
disabilities, reduced intelligence quotient, behavioral problems,
and impaired memory. Lead poisoning also poses a particular risk
to pregnant women. The seller of any interest in residential real
property is required to provide the buyer with any information on
lead-based paint hazards from risk assessments or inspections in
the seller's possession and notify the buyer of any known
lead-based paint hazards. A risk assessment or inspection for
possible lead-based paint hazards is recommended prior to
purchase.".
(4) Compliance Assurance. Whenever a seller or lessor has
entered into a contract with an agent for the purpose of selling
or leasing a unit of target housing, the regulations promulgated
under this section shall require the agent, on behalf of the
seller or lessor, to ensure compliance with the requirements of
this section.
(5) Promulgation. A suit may be brought against the
Secretary of Housing and Urban Development and the Administrator
of the Environmental Protection Agency under section 20 of the
Toxic Substances Control Act to compel promulgation of the
regulations required under this section and the Federal district
court shall have jurisdiction to order such promulgation.
(b) Penalties for Violations. --
(1) Monetary penalty. Any person who knowingly violates any
provision of this section shall be subject to civil money
penalties in accordance with the provisions of section 102 of the
Department of Housing and Urban Development Reform Act of 1989
(42 U.S.C. 3545).
(2) Action by secretary. The Secretary is authorized to take
such lawful action as may be necessary to enjoin any violation of
this section.
(3) Civil liability. Any person who knowingly violates the
provisions of this section shall be jointly and severally liable
to the purchaser or lessee in an amount equal to 3 times the
amount of damages incurred by such individual.
(4) Costs. In any civil action brought for damages pursuant
to paragraph (3), the appropriate court may award court costs to
the party commencing such action, together with reasonable
attorney fees and any expert witness fees, if that party
prevails.
(5) Prohibited act. It shall be a prohibited act under
section 409 of the Toxic Substances Control Act for any person to
fail or refuse to comply with a provision of this section or with
any rule or order issued under this section. For purposes of
enforcing this section under the Toxic Substances Control Act,
the penalty for each violation applicable under section 16 of
that Act shall not be more than $10,000.
(c) Validity of Contracts and Liens. Nothing in this section
shall affect the validity or enforceability of any sale or
contract for the purchase and sale or lease of any interest in
residential real property or any loan, loan agreement, mortgage,
or lien made or arising in connection with a mortgage loan, nor
shall anything in this section create a defect in title.
(d) Effective Date. The regulations under this section shall take
effect 3 years after the date of the enactment of this title.