Environmental

A property located near a former gas station shows evidence of petroleum contamination in the soil. A buyer who later discovers this and was not told may sue the seller for:

ABreach of the implied warranty of habitability only
BFraudulent misrepresentation or failure to disclose a material fact✓ Correct
CViolation of CERCLA only — no state claims apply
DBreach of the covenant of quiet enjoyment

Explanation

Failure to disclose known material facts — such as known soil contamination — exposes a seller to liability for fraudulent misrepresentation or negligent nondisclosure under California law, in addition to potential CERCLA claims.

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