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The court dismissed the purchasers' claims for latent defects and negligent misrepresentation, finding no vendor knowledge and applying the entire agreement clause.
The plaintiffs sued the defendant for breach of contract and negligent misrepresentation concerning latent defects (water infiltration and foundation issues) in a property they purchased.
The court found the plaintiffs failed to prove the defendant's knowledge of the latent defects, which is a prerequisite for vendor liability.
The negligent misrepresentation claim was dismissed due to an "entire agreement" clause in the agreement of purchase and sale, which precluded reliance on pre-contractual representations.
Although finding no liability, the court assessed damages, noting the plaintiffs' failure to mitigate significantly increased the remediation costs.
