Can a vendor be held liable for misrepresentation in a real estate transaction?

British Columbia, Canada


The following excerpt is from Gordon v. Krieg, 2013 BCSC 842 (CanLII):

Misrepresentation in the context of real estate transactions has recently been examined by this court in the case of Cardwell v. Perthen, 2006 BCSC 333, affirmed on appeal, 2007 BCCA 313. In Cardwell, Ballance J. held that a vendor will not be responsible for misrepresentations to a purchaser unless he: a. fraudulently misrepresents or conceals a defect; b. knows of a latent defect that renders the house unfit for habitation; c. is reckless as to the truth or falsity of the statements relating to the fitness of the house for habitation; or d. breaches his duty to disclose a latent defect that renders the premises dangerous.

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