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Court affirms judgment for developer, real estate company in suit over sinking home

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A couple who sued a subdivision developer and real estate company after the builder went out of business to recover damages because their home was sinking could not convince the Indiana Court of Appeals to reverse summary judgment for the companies.

James and Gayle Corry’s home was built by Woodland Homes of Ft. Wayne, which has filed for bankruptcy and gone out of business. The Corrys purchased a lot from Woodland that it had obtained from Oakmont, the subdivision developer. Testing of the soil showed that the Corrys’ lot would require the home be built on pilings because the soil was unstable. The Corrys and their realtor, Steve Jahn, who was also president of Woodland, discussed the need for pilings, but Jahn told the couple that the house didn’t need pilings and they would “beef up” the concrete slab.

Almost immediately after moving into the home in 2002, the Corrys discovered structural problems. Jahn said the issues were cosmetic and corrected them, but in 2007, after learning that Woodland had gone bankrupt, the Corry’s sought to meet with Mike Thomas Associates, where Jahn had also worked. No solutions were agreed to, so later that year, the Corrys sued Jahn, Woodland, Oakmont and MTA for breach of contract, breach of fiduciary duty, breach of warranty, negligence and fraud. The trial court granted Oakmont and MTA’s motion for summary judgment on the claims.

The Court of Appeals held that Oakmont and MTA weren’t parties to the construction contract at issue, so summary judgment was appropriate on the breach of contract claim. There is no cause of action arising from belated provision of a limited agency disclosure form, so summary judgment was proper on the breach of fiduciary duty claim.

The trial court properly declined to impose an implied warranty of habitability on Oakmont and MTA where Woodland, as the builder, was the entity best positioned to prevent the home from sinking. The trial court also properly granted summary judgment on the negligence claim because the Corrys’ claim is for economic loss and they are relegated to recovery in contract as opposed to negligence law.

The designated materials show Oakmont and MTA didn’t make fraudulent misrepresentations to the Corrys, and Jahn did not act as an agent of Oakmont or MTA when representing that his building methodology was superior and would produce a long-standing product, the appellate court ruled. Thus summary judgment on the fraud claim was appropriate.

 

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  1. Can I get this form on line,if not where can I obtain one. I am eligible.

  2. What a fine example of the best of the Hoosier tradition! How sad that the AP has to include partisan snark in the obit for this great American patriot and adventurer.

  3. Why are all these lawyers yakking to the media about pending matters? Trial by media? What the devil happened to not making extrajudicial statements? The system is falling apart.

  4. It is a sad story indeed as this couple has been only in survival mode, NOT found guilty with Ponzi, shaken down for 5 years and pursued by prosecution that has been ignited by a civil suit with very deep pockets wrenched in their bitterness...It has been said that many of us are breaking an average of 300 federal laws a day without even knowing it. Structuring laws, & civilForfeiture laws are among the scariest that need to be restructured or repealed . These laws were initially created for drug Lords and laundering money and now reach over that line. Here you have a couple that took out their own money, not drug money, not laundering. Yes...Many upset that they lost money...but how much did they make before it all fell apart? No one ask that question? A civil suit against Williams was awarded because he has no more money to fight...they pushed for a break in order...they took all his belongings...even underwear, shoes and clothes? who does that? What allows that? Maybe if you had the picture of him purchasing a jacket at the Goodwill just to go to court the next day...his enemy may be satisfied? But not likely...bitterness is a master. For happy ending lovers, you will be happy to know they have a faith that has changed their world and a solid love that many of us can only dream about. They will spend their time in federal jail for taking their money from their account, but at the end of the day they have loyal friends, a true love and a hope of a new life in time...and none of that can be bought or taken That is the real story.

  5. Could be his email did something especially heinous, really over the top like questioning Ind S.Ct. officials or accusing JLAP of being the political correctness police.

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