Are You Next in the Legal Crosshairs?

The real estate industry is facing yet another wake-up call. American Home Shield
NHD has closed its doors, leaving countless agents and brokers exposed to
potential legal nightmares. This latest shutdown adds to a growing list of defunct
providers, raising urgent questions about the reliability of disclosure reports and
the financial safety of those who rely on them.

The Unseen Threat Lurking in Your Transactions

Many real estate professionals assume that all NHD reports are created equal.
They’re not. When an NHD company shuts down, its reports become ticking time
bombs—if an error surfaces months or even years later, there’s no company left
to back up its accuracy. The burden falls squarely on the agent or broker who
ordered the report.

Under California law, the statute of limitations for filing claims related to
inaccurate disclosures can stretch for years. That means real estate professionals
could find themselves blindsided by lawsuits long after a transaction has closed,
with no NHD provider left to defend them.

The Wildland Fire Disaster No One Saw Coming—Because It Wasn’t Disclosed

The recent wave of devastating wildfires has exposed a shocking failure within the
NHD industry. The Wildland-Urban Interface (WUI) zone—the area most at risk
for catastrophic wildfires—was not disclosed by any NHD company, except for
one.

This means thousands of properties in high-risk fire zones were bought and sold
with buyers unaware of the looming danger. Agents and brokers who relied on
these faulty reports are now at risk of legal action, as homeowners discover they
were left unprotected.

If your NHD provider failed to disclose this life-altering risk, who will be held
accountable? Your Bargain Hunting Could Cost You Everything

Too many agents make a costly mistake—they choose the cheapest NHD
provider, assuming it’s just another box to check. But when a bargain-bin NHD
company vanishes, its clients are left defenseless.

Think about it: Would you trust the lowest bidder to protect you from a lawsuit
that could cost you your career?

Choosing a discount provider might save a few dollars today, but it could cost
thousands in legal fees down the road. And if your NHD provider disappears, so
does any support or accountability.

The Industry’s Troubling Track Record

This isn’t an isolated event. The NHD industry has seen company after company
collapse, leaving real estate professionals scrambling to clean up the mess. The
list of failed NHD providers reads like a cautionary tale:

**American Home Shield, Complete NHD, Seller’s Choice NHD, DisclsoureSave,
ValleyNHD, America West NHD, Bolt NHD, Express NHD, 888 NHD, California NHD,
Disclosed NHD, Elite NHD, First Choice NHD, HOM NHD, First NHD, Development
N.H.D. Inc., NHD NHD Save, HIRST NHD, TerraCheck NHD, E-Risk NHD, Vista NHD,
Geologix NHD, NHD Technology, California Hazards Reports, BPG, Integrity One
NHD, Central Disclosure NHD, LandAmerica NHD, Smith Gutcher NHD, White NHD,
NDA – Na[onal Disclosure Authority NHD.