Contracts
An Indiana seller who conceals a leaking roof by painting over stains and fails to disclose it is potentially liable for:
ANothing — sellers are not required to disclose cosmetic issues
BFraudulent concealment — active misrepresentation of a known material defect✓ Correct
COnly the cost of the paint
DOnly punitive damages if sued
Explanation
Actively concealing a known defect (painting over water stains to hide a leaking roof) constitutes fraudulent concealment, which is worse than simple non-disclosure. The seller could be liable for rescission, damages, and potentially punitive damages.
Related Indiana Contracts Questions
- A counteroffer legally:
- If an Indiana seller fraudulently misrepresents a material fact that induces the buyer to purchase, the buyer's remedy may include:
- In Indiana, 'rescission' of a real estate contract means:
- An Indiana new construction purchase contract typically differs from a resale contract in that it may include:
- In Indiana, the term 'novation' in a real estate context means:
- An Indiana buyer who purchases a new construction home from a builder typically:
- Under Indiana contract law, which element is essential for a real estate purchase agreement to be legally enforceable?
- What is the purpose of earnest money in a purchase agreement?
Practice More Indiana Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Indiana Quiz →