Claims Scenarios


Property Manager

A leak in a building’s roof caused significant damage to a tenant’s property. In addition to suing the building owner to recover the value of the damaged property, several tenants legally terminated their lease agreements. The building owner subsequently sued the property manager, alleging negligence for failing to maintain the roof and to repair the leaks in a timely manner.


Real Estate Agent

A real estate agent represented sellers in the sale of their residential property. A few months after the sale, there was a heavy rainstorm and the buyers discovered a large leak that was previously undisclosed and covered by paint. The buyers sued both the sellers and the real estate agent, since the disclosure document did not mention any water issues.


Home Inspector

A buyer of property alleged that he relied on the representations of the agent that the property was in good condition and free from major defects or damage. After the close of escrow, he discovered that the property suffered from water leaks, foundation cracks and structural issues. As a result, he claimed he had incurred repair costs and will incur future repair costs. The buyer filed suit against the agent and others, for breach of fiduciary duty and negligence.


Title Abstractor / Title Agent

During the sale of a property, it is discovered that a lien was still outstanding. The seller claimed that because he relied on the report from the title agent/title abstractor, the purchase price of the property dramatically changed and he was unable to complete the original sale, costing him a significant amount of money. The seller filed a claim for failing to report the outstanding lien.