Legal Question in Real Estate Law in New Jersey
I purchased a house in New Jersey. Two years later, we discovered that the property had an open permit from prior to my purchase related to repairs due to hurricane sandy. We discovered that no inspections had occurred once the work was completed and that the work was completed in a grossly negligent manner. The cost to fix the work is $50,000 and I have letters from two contractors and an architect. The issues include gross negligence, fraud, illegal activity on the part of the contractor, seller's representations, cloudy title, certificate of occupanyc, etc. There seem to be multiple parties at fault for my damages including: the contractor who did the work, the seller, my attorney, and the title insurance company. Can anyone help sort this out? Who to pursue for damages? What are the next steps?
2 Answers from Attorneys
If this was an open permit at the time you purchased, you should have been able to determine it at that time. Your attorney should have been looking into this on your behalf. The seller probably should have disclosed it. You might have been aware that Sandy happened and asked about it. Did you even inspect when you made the offer, signed the agreement, before you made settlement? Each of those times are opportunities for you to find out about issues and to decide to not go forward. Two years later may be too late.
To find out if you have any options at this point, you should consult with a real estate lawyer in the county and locality where the property is located. Answers on a web site are not going to solve this for you.
THIS RESPONSE IS NOT LEGAL ADVICE, SINCE I DO NOT HAVE ALL OF THE INFORMATION THAT WOULD BE REQUIRED, AND I DO NOT HAVE A REPRESENTATION AGREEMENT WITH YOU.
* If the answers to your question confirm that you have a valid issue or worthwhile claim, your next step should almost always be to establish a dialog with a lawyer who can provide specific advice to you. Contact a lawyer in your county or township.
* Another reason for contacting a lawyer is that it is often impossible to give a good answer in the Internet Q&A format without having more information. The unique circumstances of your situation and things that you may not have thought to mention in your question may completely change the answer. If you want to be sure that you have a complete answer to your question and an understanding of what that answer means, establish a connection with a lawyer who practices in the area of your concern.
In general, the warranties of a real property contract are said to "merge into" the deed at the time of the sale. That means that unless there is a specific reservation of rights, the acceptance of the deed means that the buyer takes the property as it is. There is an exception for fraud especially if there is active concealment. Your problem is going to be that you had an opportunity to have the property inspected and everyone knew about the storm. If you did have an inspection and if the damage is as severe as you say, you may have a cause of action against the inspector.
I handle matters of this type. If I can be of further help to you, call or email.
See also: http://info.corbettlaw.net/lawguru.htm
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