Posted by dealmaker on March 26, 2005 at 06:54:18:
I’ve heard of “loss of use”, that’s an insurable risk. Probably means the same thing. What are you ACTUAL damages? Have you not been able to move in? Or have the house and it’s subsystems just not been performing up to your (and a reasonable person’s) expectations?
What does the purchase contract say about this? I’m sure you signed away your right to sue the builder as there’s probably a binding arbitration clause in the purchase agreement.
Were you not aware of any of the problems with the house before closing? Did you not perform a complete walk through and check out before closing?
I need help. Is there such a term in Real Estate law? I bought a new home from a builder and there have been some major issues with it. I am talking to them right now about being compensates. The builder wrote sent me a response saying they only have to pay 25% of what I want to be compensated for according to the “Lost Utility” model. The builder says (Lost Utility is the legal model used to access actual loss of use of real Property).
Posted by John Merchant on March 26, 2005 at 10:19:02:
I’d agree with DM, “Loss of use” is what you’re talking about.
Be aware though that this is an ephemeral, unmeasurable area of damages, so it’s about as solid as any other cloud.
A court or jury might award a lot, a little, or nothing…depending on a lot of elements that I wouldn’t loan against.
Any lawyer would tell you to settle this thing and don’t waste your time or his/hers with any kind of lawsuit on it.
I learned a long time back that in any lawsuit against a seller for any kind of damages based on the RE not being as advertised, that I’d want to be paid in cash, in full, BEFORE I’d file any kind of suit…as inevitably, my client would find a GF* and sell the house after I’d spent a lot of time and effort on the case.