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Supreme Court kicks ‘buyer beware’ vs. disclosure case back to trial court

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A Lake County dispute over whether a buyer or seller is responsible for a few thousand dollars worth of home defects is headed back to the trial court after a divided Indiana Supreme Court ordered a legal do-over.

Justice Steven David wrote for the majority that the trial court applied the incorrect standard in ordering the sellers to pay the buyers a little more than $13,000 for repairs that had to be made after closing. The sellers represented in disclosure forms that they knew of no defects, and the buyers relied on that when they ordered a cursory inspection that turned up no problems.

The trial court found that the issues raised in the complaint “should have been obvious” to the sellers, a standard that David wrote was lower than “actual knowledge.” “This means that the trial court here applied the wrong legal standard to the facts, even assuming that those facts are sufficiently supported by the record. The judgment is therefore clearly erroneous,” David wrote in Barbara A. Johnson and William T. Johnson, Both Individually and as Trustees of the Barbara A. Johnson Living Trust Dated 12-17-1996 v. Joseph Wysocki and M. Carmen Wysocki, 45S04-1211-CT-634.

“We reverse the trial court and remand for new findings pursuant to this opinion,” David wrote for the majority, joined by Chief Justice Brent Dickson and Justices Mark Massa and Loretta Rush.

Justice Robert Rucker concurred in part and dissented in part. Agreeing that the trial court applied the wrong legal standards to facts of the case, and that Indiana’s Disclosure Statutes don’t trump the common law “caveat emptor” principle, Rucker said the trial court nevertheless decided the case on the facts and the matter didn’t merit revisiting.

“It is certainly true the trial court did not use the magic words ‘actual knowledge,’” Rucker wrote in the one-paragraph dissent of a 16-page opinion. “But as recounted in the Facts section of the majority opinion, the record before us is more than sufficient to support the conclusion that the Johnsons had such knowledge of the various defects prior to the time they sold the property to the Wysockis. I would therefore affirm the judgment of the trial court in all respects and put this litigation to rest.”

 


 

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  1. Payday loans take advantage of people in many ways. It's great to hear that the courts are using some of their sins to pay money back to the community. Hopefully this will help change the culture of many loan companies, and make lending a much safer endeavor for those in need. http://lawsuitlendingnow.com/lawsuit-loans-post-settlement.html

  2. A traditional parade of attorneys? Really Evansville? Y'all need to get out more. When is the traditional parade of notaries? Nurses? Sanitation workers? Pole dancers? I gotta wonder, do throngs of admiring citizens gather to laud these marching servants of the constitution? "Show us your billing records!!!" Hoping some video gets posted. Ours is not a narcissistic profession by any chance, is it? Nah .....

  3. My previous comment not an aside at court. I agree with smith. Good call. Just thought posting here a bit on the if it bleeds it leads side. Most attorneys need to think of last lines of story above.

  4. Hello everyone I'm Gina and I'm here for the exact same thing you are. I have the wonderful joy of waking up every morning to my heart being pulled out and sheer terror of what DCS is going to Throw at me and my family today.Let me start from the !bebeginning.My daughter lost all rights to her 3beautiful children due to Severe mental issues she no longer lives in our state and has cut all ties.DCS led her to belive that once she done signed over her right the babies would be with their family. We have faught screamed begged and anything else we could possibly due I hired a lawyer five grand down the drain.You know all I want is my babies home.I've done everything they have even asked me to do.Now their saying I can't see my grandchildren cause I'M on a prescription for paipain.I have a very rare blood disease it causes cellulitis a form of blood poisoning to stay dormant in my tissues and nervous system it also causes a ,blood clotting disorder.even with the two blood thinners I'm on I still Continue to develop them them also.DCS knows about my illness and still they refuse to let me see my grandchildren. I Love and miss them so much Please can anyone help Us my grandchildren and I they should be worrying about what toy there going to play with but instead there worrying about if there ever coming home again.THANK YOU DCS FOR ALL YOU'VE DONE. ( And if anyone at all has any ideals or knows who can help. Please contact (765)960~5096.only serious callers

  5. He must be a Rethuglican, for if from the other side of the aisle such acts would be merely personal and thus not something that attaches to his professional life. AND ... gotta love this ... oh, and on top of talking dirty on the phone, he also, as an aside, guess we should mention, might be important, not sure, but .... "In addition to these allegations, Keaton was accused of failing to file an appeal after he collected advance payment from a client seeking to challenge a ruling that the client repay benefits because of unreported income." rimshot

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