However, the garden is technically illegally growing and it's now technically a title defect.  

As long as it's understood that if you do your due diligence and a decent network of vendors and attorneys it's the exception and not the rule.I'm sorry Dion but not every note people buy will have incurable title defects, or bad origination.. no matter how hard you try to sell that story.

So I am not too sure how you can think about a note or a loan and not contemplate the risks involved such as prepayment, default, extension or paper defect.

Right to inspect will ensure he is not trying to do repairs he is not qualified to do and no future defects occur by him attempt to shortcut to save money.

According to my research a capital asset is:The IRS indicates what constitutes a real property capital improvement as follows:Fixing a defect or design flawCreating an addition, physical enlargement or expansionCreating an increase in capacity, productivity or efficiencyRebuilding property after the end of its economic useful lifeReplacing a major component or structural part of the propertyAdapting property to a new or different useA repair is as follows:Improvements that "keep" property in efficient operating conditionRestores the property to its previous conditionProtects the underlying property through routine maintenanceIncidental Repair to propertyReference is http://www.dbbllc.com/newsletters/focus/mar2012/irs-clarifies-capital-improvement-vs-repair-expenseNext time I will rent a small excavator, dig my own hole, and put on a Fernco.

However, it looks like this might have been a latent defect in the counter top that made it susceptible to damage. 

The deed can include language to make it enforceable to foreclose (judicially) if there are defects in the DoT (and we don't use mortgages in Texas).A set of closing docs usually isn't that expensive to have drafted by an attorney. 

If the landlord misses the deadline, the notice is defective and the tenancy is automatically extended for another month.

They may provide a lawyer for you if you're sued for defects in the property like mold.

Somebody wanting to sue for you backing out of a bad deal or accusing you of selling them a property with defects like unknown termite damage).