What recourse do I have when a mobile home seller did not disclose information that severely damages the property’s value?

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What recourse do I have when a mobile home seller did not disclose information that severely damages the property’s value?

I bought a mobile home from a seller who did not disclose information that was known to him and that materially affects the value of the home but was not apparent on inspection. After the sale I learned of the home’s history from neighbors. (I’m being non-specific to protect my privacy and future negotiating position with the seller.) What recourse do I have?

Asked on March 22, 2011 under Real Estate Law, Florida

Answers:

S.L,. Member, California Bar / FreeAdvice Contributing Attorney

Answered 13 years ago | Contributor

You could sue the seller for fraud.  Fraud is the misrepresentation of a material fact made with knowledge of its falsity and with the intent to induce reliance on which one justifiably relies to his or her detriment.  Fraud also includes the nondisclosure of a material fact by a seller which the buyer could not have reasonably discovered.  You justifiably relied on the information provided by the seller to your detriment.  A material fact is one that goes to the basis of the bargain; in other words would have impacted your decision on whether or not to purchase the mobile home.

Your damages (the amount you are seeking to recover in a lawsuit for fraud) would be either your out-of-pocket loss or the benefit of the bargain.  Out-of-pocket loss is the amount you are out due to purchasing the mobile home.  Benefit of the bargain is the difference between what you paid for the mobile home and what you should have paid had you known the information the seller failed to disclose.

 


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