IN THE COURT OF THE 10th CIRCUIT COURT OF APPEALS OF THE STATE OF OKLAHOMA
THE HAUNTED HOUSE
V. CASE OK-2012-1002
OKC Properties LLC.
B. Gates a resident of California Bought a House in the “prime” residential area of Oklahoma City. The Previous owner of the house was a person named Mr. Pitt and the sale of the house was brokered and carried out by a licensed real estate agent company under the name of” OKC Properties” situated in down town Oklahoma City. After moving into their new house, Mr. Gates found out from one of his new neighbors that the house he just bought was once owned by Mr. Steve Jobs who owned many properties around the US before he passed away a few years ago.
After learning this new information Mr. Gates was highly mortified to live in a house where once his long time competitor lived in. After few months of living in the House, Mr. Jobs filed a lawsuit against OKC Property Agents for not disclosing about all the previous owners who had lived in the house before Mr. Gates bought it. He sued for fraud and misrepresentation, saying that they made a "deliberate choice not to disclose the home's past"
Also he claimed damages from OKC Property Agents for the mental stress that Mr. Gates faced while he lived in that house because he believed the house was haunted.According to Mr. Gates he faced “strange” phenomenon’s while in the house such as his computers crashing on him all the time and hearing voices in his sleep yelling at him saying “COPY CAT” and “THIEF” which led him to incur losses in his professional life due to lack of sleep. He claimed that he had to seek professional help to recover from the mental trauma that he had to go through from the whole ordeal.
OKC Properties claimed they did not have to share the information of all the previous owners as there was no need and Mr. Gates did not specifically ask for that information. They stated that they have to disclose information if there is any defects in the property and/If any crime has been associated with the property involved.
The lower court of Oklahoma county found no fraud in OKC properties part and ruled in favour of OKC properties.
Mr. Gates Appealed
ARGUMENT AND AUTHORITY
WAS OKC PROPERTIES LIABLE FOR FRAUD AND MISREPRESENTATION FOR NOT DISCLOSING ALL THE PREVIOUS OWNERS OF THE HOUSE?
Many states require home sellers to disclose defects in their property that affect health and safety. Such as,
Title issues, Roof defects, Plumbing and sewage problems, Property drainage problems, Foundation instability or cracks, Heating and air conditioning system defects, Water leakage of any type, including in basements, Termites and other insect infestations and Lead paint (required by the federal Residential Lead-Based Paint Hazard Reduction Act of 1992)
The terms of 59 O.S. Supp. 2005 § 858-354(B)(1) expressly command that a licensee "shall treat all parties with honesty and exercise reasonable skill and care," and the provisions of 59 O.S. 2001 § 858-312