Use LEFT and RIGHT arrow keys to navigate between flashcards;
Use UP and DOWN arrow keys to flip the card;
H to show hint;
A reads text to speech;
8 Cards in this Set
- Front
- Back
Duty to Disclose
Common Law |
Buyer is liable (under the policy that she must use due dilligence). Seller is not liable for silence.
|
|
Duty to Disclose
Common Law Exceptions |
Seller is liable is he engages in active concealment.
|
|
Duty to Disclose
Modern Law |
Seller has duty to disclose defects
|
|
Duty to Disclose
Modern Law Johnson Case |
material defect that seller knows of that affects value of home and buyer has no reason to perceive
|
|
Duty to Disclose
Modern Law Two tests that determine material defects? |
Objective -- would reasonable person find defect important in their decision to buy.
Subjective -- does it affect value or desireablility of person buying. |
|
Duty to Disclose
Modern Law If seller breaches, buyer's remedy? |
Rescission and sue for damages
|
|
Duty to Disclose
Modern Law Stigma Statutes |
Shield sellers from failure to disclose psychological or prejudicial factors that might affect market value --> e.i. murder in house, someone with AIDS lived there)
|
|
Duty to Disclose
Modern Law CERCLA...liability? Defense? |
Federal statute that requires liability for cleanup costs for contamination. Buyer must inquire to preclude him from liability. STRICT LIABILITY. Defense --> Innoncent Landowner defense.
|