If you are still within the inspection period of your purchase contract, you can give written notice to the seller that you disapprove the condition of the AC unit. The seller then has the choice to repair or replace it or let you out of the contract. If the seller declines to repair or replace, you may have to decide whether it is worth it to close on the contract and to repair or replace the AC unit yourself.
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I agree with attorney Millett. The direct answer to your question is that the seller has no legal responsibility to fix the A/C unit, but you have the power to negotiate with the seller or buy a different property.
Disclaimer: This answer is provided for informational purposes only, does not constitute legal advice, and does not create an attorney-client relationship. I am licensed in Arizona and can only provide general comments on matters outside of Arizona law. Actual legal advice can only be provided after a direct consultation in which all of the relevant facts are considered before providing a response.
In general, my colleagues are correct. However, assuming you signed the standard form agreement used by realtors in AZ, then I direct you to lines 166-168, which provide "Seller warrants and shall maintain and repair the Premises so that at the earlier of possession or COE: (i) all heating, cooling.. systems... will be in working condition, ..." I would suggest looking at the Seller Property Disclosure Statement to see if the Seller represented that the a/c was working.
This potential conflict between the provisions is one of the reasons why it's important to use a residential real estate attorney when buying or selling a home.
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You have not mentioned whether there was an "as is" addendum (or similar clause) accompanying your purchase documents. If so, this may change the answer.
If buyer and seller signed an "as is" addendum, the seller may not have to fix the air conditioning unit if it was not in working condition at the time the purchase contract was signed. But, if the unit was working at the time of the contract, and then subsequently broke down, the seller would be obligated to maintain and repair it even if there was an "as is" to the contract.
Either way, I suggest getting a few more estimates to find out whether the unit needs to be replaced or whether there is a simpler fix available.
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