NY Supreme Court Sides With Defense in Home Inspection Case

Obtained summary judgment in the Supreme Court of Westchester County, New York, on behalf of our client, a home inspection company. The case involved claims for negligent home inspection, gross negligence and fraud as a result of the plaintiffs' discovering over $1.4 million in actual damages from mold and vermin following their purchase of a home in Armonk, New York. The plaintiffs executed a home inspection agreement and hired the defendant company to perform the pre-sale home inspection. The defendant's contract with the plaintiffs reduced any damages to liquidated damages equivalent to the cost of the home inspection, or $850.  The defense argued that the plaintiffs' claims should be limited to the liquated damages because New York law fully embraces the notion that parties to a contract freely negotiate the terms at arms' length and should be held to the letter of those terms. The court agreed with our client's position and reduced the plaintiffs' potential damages to $850.