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Negligence and Misrepresentation
Knowing that he would soon sell his chain of local restaurants, the owner falsely inflated their apparent profit-making ability by overpaying his taxes for several years. A couple purchased the business, using money they had saved for retirement. The business eventually went bankrupt. To determine the cause of the bankruptcy, the couple hired a forensic accountant, who discovered the deceit of the former owner. The couple sued the business broker who handled the transaction for negligence and misrepresentation, claiming damages of $347,000.

Lead Paint Poisoning
A woman sued a landlord after experts concluded that her child suffered severe lead paint poisoning, requiring extensive medical care, caused by paint at the residence. The property had been represented as "lead paint free" by the real estate agent who originally listed the property for the landlord. The jury awarded $680,000 to the plaintiff, plus over $17,000 to cover the child's medical bills, but rejected the defendant's claim that the agent was at fault. Although the agent was found not to be liable, she incurred over $10,000 in legal fees.

Delayed Mortgage Commitment
A potential homebuyer attempted to secure a mortgage commitment from a mortgage firm that was a subsidiary of, and was recommended by, the real estate agency listing the home. The mortgage was delayed, and the buyer, who was also selling his own home and didn't want to lose his own buyer, closed on the sale of his home, leaving him with no place to live. The buyer then sued the listing agent for negligence, seeking reimbursement for the $5,000 out-of-pocket costs the buyer had incurred.

Buyer's Due Diligence
A homebuyer sued the listing broker and the home seller, alleging that water damage at the home he purchased was caused by a spring that they knew about but didn't disclose. Although the buyer's own home inspector had recommended that the buyer consult with a drainage expert to determine the extent of the water infiltration problems, the buyer did not follow this advice. The court sided with the broker and seller, saying that the plaintiff had failed to exercise due diligence and that he could not complain that others deceived him. Though not liable for damages, the broker ended up paying over $10,000 in legal defense costs.

Leasing Agent's Negligence
A landlord, seeking to evict tenants from space it wanted to lease to a department store, instructed its leasing agent to advise the tenants in a letter that the landlord did not wish to renew their lease. The leasing agent did not send a letter, and the tenants continued to pay rent to the landlord. When the landlord attempted to evict the tenants, they refused. The tenants' attorney demanded a premium of $292,000 to leave the premises. The landlord sued the leasing agent for the $292,000 for negligence in failing to send a non-renewal letter to the tenants. The leasing agent pled innocence, explaining that the landlord said it intended to renew the lease and never told the agent to send a letter to the tenants advising them otherwise. The case was settled out of court for $100,000.