Thread: Fradulent claims

Hi guys and gals,
Just wondering if in your area you are having the same type problem that we are experiencing in this area.
A person(s) buy a new home. Then a few months later they decide they cant make the mortage payments. So they begin to cherry pick the purchase contracts and home inspection report and find details that fit some imagined complaint, then file suit against everyone involved for damages that match the full amount of the loan.

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Originally Posted by Terry Griffin

Hi guys and gals,
Just wondering if in your area you are having the same type problem that we are experiencing in this area.
A person(s) buy a new home. Then a few months later they decide they cant make the mortage payments. So they begin to cherry pick the purchase contracts and home inspection report and find details that fit some imagined complaint, then file suit against everyone involved for damages that match the full amount of the loan.

Buyers's Remorse has been a problem for many years...
Not likely to go away.......

Or the price has dropped a hundred grand and they feel someone besides them should be responsible.
Yep, it's a chronic problem. That's why I have stated before that the quality of the inspection and all the disclaimers in the world won't prevent you from being sued.
Whether you win really isn't the issue, everybody loses except the lawyers.
My feeling is that if it hasn't happened to you yet, it will unless you happen to be lucky.
E&O isn't as much for settling suits as it is for legal defense.

Originally Posted by Benjamin Thompson

E&O isn't as much for settling suits as it is for legal defense.

The Business Owner is the front line of defense...
If you are depending on an Insurer, you are sadly mistaken...

E&O only comes into play AFTER a lawsuit is filed....
your market may vary......

Originally Posted by Joseph Hagarty

The Business Owner is the front line of defense...
If you are depending on an Insurer, you are sadly mistaken...

E&O only comes into play AFTER a lawsuit is filed....
your market may vary......

Huh, so after a lawsuit is filed you don't need legal defense? You must operate differently from other lawyers. In most cases I have heard of, the cost of legal defense is far greater than the settlement.

Thanks for your replies, at least I know we are not alone.

I have only had one of those in all my years. It was a few years ago. The guy tried to bail on the home before he lost it. He had a home inspection. The inspector wrote everything I did and all that took place from that time. He read of the findings of the other inspector and then asked me how I wish to deal with all the reapirs.. He did ot know I was at my computer reading every detail he read to me that was in my report from the new inspection report.

I told him he should have fixed everything he just read off because everything he read is on what I had up on my computer in front of me

Expletive, expletive and then more expletives and then said "Good luck in the home inspection business and then hung up.

He then put a review on me trying to mask his identity and put everything to do with a home on the review that could be wrong in a home. Not the same items but every system in the home. That review is still on me and I cannot get it removed.

Part of life I guess. I guess when internet listings are free you have little to no recourse if some schmuck wants to write up a bad review