Alterations to Residential Purchase Agreements

Question:
Can a Residential Agent change the Purchase

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Agreement Form by striking through portions of the form?

Recommendation:
This is something that I saw often as a defense attorney and I still see with regularity as a closing attorney.

The answer is found at Louisiana Revised Statutes 37:1449.1.

According to Louisiana Revised Statutes 37:1449.1(A)

1. A licensee representing either the buyer or seller of residential real property shallcomplete the purchase agreement form prescribed by the Louisiana Real Estate Commission in making an offer to purchase or sell residential real property.
2. No person shall alter the purchase agreement form.
3. However, addendums or amendments to the purchase agreement form may be utilized.

A couple things can be gleaned from the above reference statute. First, for residential transactions, agents should use the “Louisiana Residential Agreement to Buy or Sell” form. Second, “strike-throughs” or “hand written lines” should not be placed on the purchase agreement. Rather, any changes to the purchase agreement form should be made by an addendum or amendment.

Thus, if

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an agent wants to change any portion of the purchase agreement form, the agent should prepare an addendum that:

1. references the lines in the purchase agreement form to which the parties do not intend to adhere and
2. contains detailed verbiage to replace the canceled language.