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Winter 2014 Bar Question 6

Remedies

  Question
 

Angela hired Mark, a real estate broker, to help her find a house to buy.

A week later, Mark contacted Angela and told her that he had found the perfect house for her.  She asked him what he knew about the house.  He said that the house had been owned for some years by Carol, who had kept it in pristine condition. When she visited the house, Angela noticed what appeared to be animal droppings on the deck.  Carol assured her that they were only bird droppings, had never appeared previously, and would be removed before closing.  Carol added that she never had any problem with any kind of “pests.” Angela made an offer of $500,000 for the house, and Carol accepted.

After closing, Angela spent $10,000 to move her household goods to the house.   A few weeks after moving into the house, Angela made several discoveries.  First, the house suffered from a seasonal infestation of bats, which urinated and defecated on the deck. Second, Carol was in fact Mark’s cousin, had owned the house for about a year, and had been desperate to sell it because of the bats. Mark was aware of all of these facts.

After the sale, Mark evenly split the proceeds with Carol and invested his $250,000  in stocks that are now worth $750,000.

At trial, Angela has established that Mark and Carol are liable to her in tort and contract.

1.   What remedy or remedies may Angela obtain against Carol? Discuss.

2. What remedy or remedies may Angela obtain against Mark? Discuss.

All questions © 2014 California State Bar Exam. All rights reserved


Answer

Remedies
Question 6, Winter 2014

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