[Direct answer]It should be borne, but the circumstances need to be distinguished. According to Article 962 of the Civil Code of the People's Republic of China, the agent shall truthfully report to the principal matters related to the conclusion of the contract; if he intentionally conceals important facts related to the conclusion of the contract or provides false information, thereby harming the principal's interests, he shall not request payment of remuneration and shall bear compensation liability. If the agent colludes with the seller to harm the buyer's interests or engages in fraudulent acts, the buyer may also request the rescission of the contract in accordance with Article 148 and claim corresponding compensation in accordance with Article 55 of the Law of the People's Republic of China on the Protection of Consumer Rights and Interests. After discovering the concealment, the buyer should fix the evidence as soon as possible and pay attention to the preclusion period of one year and a maximum of five years for the right of rescission.

I. Problem Background and Typical Scenarios

Second-hand housing transactions rely on intermediaries to provide services such as property verification, ownership inquiry, loan assistance, and transfer assistance. Information asymmetry makes buyers highly dependent on the professional judgment of intermediaries. Typical scenarios include: concealing that the house is mortgaged, sealed up, or has unpaid loans; concealing major events such as unnatural deaths in the house; concealing the true transaction price and the seller's bottom price to make a profit from the price difference; concealing the existence of co-owners, unsplit inheritances, or tenants' priority purchase rights and long-term leases; concealing important information such as the house's area, age, planning, and supporting facilities. Buyers often only discover problems during online signing, face-to-face signing, or house handover, by which time the deposit and down payment have already been paid, making it much more costly to withdraw from the transaction.

II. Key points of contention

First, the scope of the obligation to report truthfully. Important facts related to the conclusion of a contract typically include ownership status, rights encumbrances, major matters affecting residential use, and transaction price information. The specific boundaries are determined by the court based on industry norms and transaction practices. Second, the distinction of subjective states. Intentional concealment, provision of false information, and general negligence due to inadequate verification carry different levels of responsibility. The former not only requires the return of remuneration but also compensation for losses. Third, the subject of liability. Both intermediary agencies and specific agents may bear responsibility, with the agency assuming the main responsibility for its professional obligations. Fourth, parallel remedies. Buyers can simultaneously claim legal consequences of breach of contract or fraud from sellers, and also claim the return of service fees and compensation for losses from intermediaries. The two paths have different emphases on evidence, and it is advisable for lawyers to coordinate and arrange them accordingly.

III. Professional analysis by Henglue Law Firm

Based on Henglue's experience in handling similar consultations, the success or failure of buyers protecting their rights often depends on whether the causal relationship between the concealed matters and the losses can be proven. There are three common types of disputes: Firstly, if the house is mortgaged or sealed up, and the seller is unable to release the mortgage and transfer the ownership on time, the buyer may claim that the agent failed to fulfill its obligation of verification; Secondly, if the agent conceals that the house is jointly owned or that the inheritance has not been divided, resulting in the buyer's rights being infringed; Thirdly, if the agent conceals that the house has been sold to a third party before the transaction, causing the buyer's rights to be infringed.Inheritance and division of family propertyFirstly, the transfer of ownership cannot be completed due to the unfinished procedures; Secondly, the agent conceals the actual transaction price to earn the difference in price, and the buyer claims to return the difference in price and compensate for the losses. During the court trial, the court usually focuses on reviewing three points: whether the agent has the corresponding verification conditions and verification obligations; whether the concealed information belongs to important facts that affect the transaction decision; and whether there is a causal relationship between the buyer's actual losses and the concealment behavior.

It should be noted that the common exemption clauses in intermediary contracts do not necessarily exempt the legal obligation to provide truthful reports, but they will increase the burden of proof on the buyer. In the judicial practice of Beijing, for cases where the intermediary has conducted reasonable verification, the relevant information was provided by the seller and confirmed by the buyer himself, the intermediary is generally not held liable for compensation; conversely, in cases where the intermediary knew or should have known but failed to truthfully inform the buyer, it is not uncommon to support the refund of part or all of the service fees and compensation for corresponding losses. The basis of the right of claim in such disputes involves both the rules of the intermediary contract and the corresponding legal provisions.Contract disputesAs a general rule, evidence should be organized in a comprehensive manner, avoiding focusing solely on one party and neglecting the assets subject to liability.

IV. Practical suggestions and legal basis

According to Articles 961 to 963 of the Civil Code of the People's Republic of China (adopted on May 28, 2020 and implemented on January 1, 2021), an agent shall truthfully report to the client matters related to the conclusion of a contract. If the agent intentionally conceals important facts related to the conclusion of the contract or provides false information, thereby harming the client's interests, the agent shall not request payment of the remuneration and shall bear liability for compensation. Article 55 of the Law of the People's Republic of China on the Protection of Consumer Rights and Interests (amended on October 25, 2013 and implemented on March 15, 2014) stipulates additional compensation rules for operators who engage in fraudulent acts when providing goods or services. Advice for buyers: First, before signing the contract, require the agent to provide a written verification report on the ownership and rights encumbrance of the property and retain the written communication records. Second, check the ownership status of the property by yourself at the real estate registration authority and do not rely on verbal explanations for important matters. Third, if any concealment is discovered, promptly raise objections in writing and explicitly demand a refund of the service fee and compensation for losses. Fourth, pay attention to the provisions of Article 152 of the Civil Code of the People's Republic of China on the exercise period of the right of revocation. In the case of fraud, the right of revocation shall be exercised within one year from the date when the party knows or should have known the grounds for revocation. 依据《中华人民共和国民法典》第九百六十一条至第九百六十三条(2020年5月28日通过,2021年1月1日实施),居间人应当就订立合同的相关事宜向委托人如实报告。故意隐瞒与订立合同有关的重要事实或者提供虚假情况,损害委托人利益的,不得请求支付报酬并应当承担赔偿责任。《中华人民共和国消费者权益保护法》(2013年10月25日修正,2014年3月15日实施)第五十五条对经营者提供商品或者服务有欺诈行为的增加赔偿规则作了规定。建议买方:第一,签约前要求中介书面出具权属与权利负担的核查结果,并保留书面沟通记录;第二,自行到不动产登记机构查询权属状况,重要事项不依赖口头说明;第三,发现隐瞒后及时以书面形式提出异议,明确要求退还服务费并赔偿损失;第四,注意《中华人民共和国民法典》第一百五十二条关于撤销权行使期限的规定,欺诈情形下自知道或者应当知道撤销事由之日起一年内行使。

5. Henglue Law Firm's Reminder

The intermediary's assumption of responsibility does not mean full compensation. The final amount still depends on the corresponding relationship between the loss and the fault. Buyers should pay attention to three things: First, fix the time of discovery. The starting point of the right of rescission and the exclusionary period directly determine whether the relief is timely; Second, quantify the amount of the loss. List and keep the receipts of the service fees, the loss of the deposit, the loss of the price difference, and the expenses of moving and transitional renting; Third, keep the evidence of the fault, including the intermediary's promotional materials, the record of showing the house, the WeChat communication, and the promise letter.

In practice, there are two points that are easily overlooked: First, when the intermediary agency is a company, the personal responsibility of the agent is usually assumed by the agency first. When signing the contract, it should be confirmed that the contract subject and the actual service subject are consistent; Second, if the house has a long-term lease or the lessee has the right of first refusal, even if no problems are exposed during the transfer process, new disputes may arise during the handover stage. If no agreement can be reached through negotiation, it may be considered to resort to legal means to solve the problem.EnforcementThe program handles the collection of payments, and you can submit a request for assistance in case of any difficult situationsSpecialised legal servicesOverall assessment. For more information, please refer toBeijing Henglu Law FirmOfficial website.

VI. Frequently Asked Questions

Q1: If an agent conceals important information, can I get support if I sue them?

It depends on whether the intermediary's obligation to verify and the causality can be proven. If the intermediary intentionally conceals or provides false information, the court usually supports the refund of part or all of the service fees and compensation for corresponding losses; if the intermediary has carried out reasonable verification, the relevant information is provided by the seller and confirmed by the buyer himself, it will be more difficult to obtain support, and it needs to be strengthened from two aspects: the source of the obligation and the evidence.

Q2: What evidence do I need to prepare to hold the intermediary accountable?

The intermediary service contract and invoices, the housing information and promotional materials published by the intermediary, the WeChat records and audio recordings of the viewings and communications, the results of the housing ownership inquiry and the materials of the mortgage seizure, the seller's reserve price and the evidence of the actual transaction price, as well as the loss certificates of the deposits, taxes, and price differences that have already occurred, all these pieces of evidence must be able to corroborate each other.

Q3: What are the approximate costs of attorney fees and litigation fees?

The litigation fees are calculated in stages according to the amount of the subject matter, and the plaintiff shall pay them in advance. After the judgment, the fees shall be shared according to the proportion of responsibility. The attorney's fees shall be agreed upon by both parties in the entrustment contract, usually determined based on the amount of the dispute and the difficulty of the case. For disputes with a relatively small amount, it may be more cost-effective to first negotiate with the intermediary or file a complaint with the competent industry department.

Q4: How long does the rights protection process take?

It usually takes several weeks to see results after negotiating with an agent; complaints to industry associations or regulatory authorities generally take one to three months to be resolved; first-instance litigation is usually concluded within three to six months, and the time involved in appeals or appraisals is even longer. It is recommended to keep evidence simultaneously to avoid the expiration of the statute of revocation.

Q5: What should you do first if you discover that the agent has concealed information from you?

First, file an objection to the intermediary agency in writing and request an explanation, while keeping all communication records and payment receipts. Then, go to the real estate registration authority to verify the ownership and mortgage status on your own, and assess the actual losses. If you decide to sue, you should file the lawsuit within the one-year statute of limitations for the right of revocation. If necessary, you should first negotiate with the intermediary agency to refund the service fees before claiming compensation.

The above answer is based on the judicial practice in the Beijing area. The judicial interpretations in other provinces and cities may vary. For specific cases, please refer to the local rules and evidence situation.

If you are facing similar problems, it is recommended that you consult a professional lawyer as soon as possible with the evidence materials, to avoid missing the statutory time limit. →Legal services for the purchase and sale of real estate·Beijing Henglu Law Firm

Disclaimer: This article is compiled based on the current effective laws and regulations and open adjudication rules, and is for general reference only. It does not constitute a formal legal opinion on specific cases. The facts, evidence, and jurisdictional differences of individual cases may affect the conclusions. In case of disputes, please consult a practicing lawyer in time.