Real Estate Law: Expanding the Case Study

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Furthermore, in this instance, not even the Hoffman Group alleges that any of the tenants caused damage to the clubhouse, as the structure was never useable in the first place, despite the expectation of it being so, given the fees that the residents were charged.

In this instance, the warrantee of habitability should be affirmed. The Hoffman Group, by charging residents a fee for the maintenance of the structure, created an expectation that the clubhouse would be maintained in a manner so that the residents could enjoy its amenities. The expectation was just as high as would be the case of a renter renting an apartment who expected to have the use of his or her living room or fire escape porch in functional conditioning. Instead, the clubhouse was allowed to remain a health hazard to residents and members of the community alike. The fact that a pool was part of the facility also made it an attractive nuisance to children, even though it was not unenclosed.

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A faulty heating and ventilation system was installed and made its use a risk to all those who might use it.

It is unreasonable to charge residents for the maintenance of an unwholesome structure that poses a potential threat to community health and to the financial worth of their individual units. Thus, the Supreme Court affirms the trial court's granting summary judgment for the defendant, and the appellate court's affirmation. The Court hopes that this will have a positive effect upon the public policy of the land in terms of landlord-tenant relations. It will strengthen tenants' cases when landlords allow exterior structures that are commonly held and commonly paid for to go into a state of disrepair or become a safety hazard. It will also encourage landlords to maintain exterior structures in a manner that is wholesome for the larger community.

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