July2017

BIG WIN... from page 16.

Over the course of several years, the condominium association gov- erning the Belmont (“Association”) attempted to fix a variety of con- struction deficiencies that had been identified and were suspected of causing the water intrusion issues. The water leaks continued however,

and in January 2007, the Association stopped making repairs and filed suit against Monroe Station and other parties alleging negligence, fraud and violations of the Planned Real Estate Development Full Disclosure Act and the Consumer Fraud Act (“CFA”). The matter went to trial where the testimony focused on the origin and cause of the water infiltration, with the Association’s experts attributing the problem to construction defects and Monroe Station’s experts blaming poor or inadequate maintenance. According to the Association’s expert, the total estimated cost to remediate the exterior and interior of the Belmont was approximate- ly $1,825,000.00. Conversely, Monroe Station’s expert estimated the cost of the necessary repairs to be $741,000.00. The jury returned a verdict in favor of the Association, awarding it $2,186,675 in dam- ages, with Monroe Station being responsible for 80% of the dam- ages ($1,749,340.00). The trial court then awarded treble damages, pre-judgment interest, and attorney’s fees giving the Association a total judgment against Monroe Station in the amount of $7,236,677. Monroe Station appealed the judg- ment by challenging among other things, (1) the Association’s standing to recover for ascertainable losses of members of the Association who were not original purchasers; (2) the Association’s standing to recover for damages to windows which it argued were not part of the common ele- ments; (3) the applicability of the CFA to the representations made by Monroe Station, and (4) the trial CONT I NU E S ON PAGE 20

In response, the Association hired various contractors, home inspectors, and professional engineers to investi- gate, test, and repair the source of the water leaks.

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