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Real Estate
Fraud
Breach of Contract / Mold

Price Griffith, Leah Griffith v. Nguyen Nguyen, Kimberly Orlando, Nancy Monroe, First Team Real Estate, W.R. Hobson & Son, Inspectall Properties, Harbour Pines Homeowners Association

Published: Sep. 2, 2006 | Result Date: Jun. 29, 2006 | Filing Date: Jan. 1, 1900 |

Case number: 05CC05122 Bench Verdict –  Defense

Court

Orange Superior


Attorneys

Plaintiff

Richard E. Quintilone II
(Quintilone & Associates)

Heather K. Rowell


Defendant

Kevin J. Gramling
(Klinedinst PC)

Bonnie L. Lutz


Experts

Plaintiff

Michael T Chulak
(technical)

Brian Stratouly
(technical)

Marc C. Viau
(technical)

Facts

Husband and wife Nguyen Nguyen and Kimberly Orlando sold a condominium to plaintiffs in November 2004. The plaintiffs started experiencing leaks and noticed water straining within weeks of their move-in. A construction and industrial hygienist concluded that two exterior decks and wood siding were leaking. After the plaintiffs moved out of the condominium, one child was hospitalized repeatedly, allegedly as a result of mold growth.

The plaintiffs filed suit against the sellers, real estate agent, homeowner's association, termite inspector, and home inspector. The plaintiffs alleged causes of action for negligence, fraud, breach of contract, and negligent misrepresentation against the sellers.

The plaintiffs' experts testified that leaks and water staining were long-term problems that the sellers covered up prior to the sale of the condominium. The sellers maintained that they did not have any water intrusion problems in the three years they lived in the condo. The sellers also maintained that they fully disclosed all defects with the condo that they were aware of.

Settlement Discussions

Plaintiffs' initial demand was $250,000, or rescission of the contract. Plaintiffs demanded $20,000 three months before trial. Defendants did not offer any money and demanded that plaintiffs pay defendants $20,000 three months before trial.

Result

Verdict for defendants.

Other Information

The HOA, W.R. Hobson, Nancy Monroe and First Team Real Estate settled with plaintiffs for trial for an undisclosed amount. A default judgment was entered against Inspectall. The buyers and sellers proceeded forward with a bench trial. The defendants will file motion for attorney fees and memorandum of costs to recoup $60,000 in fees and costs. Plaintiffs are planning to appeal the decision.

Length

seven days


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