I have seen weird problems with water heater temperature pressure relief valves before, but this was the most "slap you in the face" startling discovery I have seen. Usually, the problems are pretty standard: There is only a plug where the TPR valve should go; there is no TPR drain line; the TPR drain line is routed up or something unusual like into a garden hose. At the tank below, there was a bucket under the TPR valve and it was full of really gross rusty water. The water at the home was turned off, so I do not know if the homeowner decided to drain the tank with the TPR valve or if the main water was shutoff because of this device leaking. The tank was old, rusted out, falling apart and this TPR drain was not correct to begin with. Current standards call for an air-gap (a space) between the top of the receptacle and the TPR drain so if it starts running like this the water level does not fill up over the bottom of the TPR drain.
Thanks for looking.
Steven L. Smith
Bellingham Home Inspector
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