Buyer receives 15,000 euros compensation due to incorrect septic tank diagnosis in real estate transaction
Selling a home without the proper diagnosis of non-collective wastewater treatment facilities can be a costly mistake, as demonstrated by the case of Mrs. I. and Mrs. Z.
Let's face it – we've all heard about the energy performance diagnosis (DPE), but have you got a clue about the diagnosis of non-collective wastewater treatment (ANC)? If not, you're not alone. However, when your property isn't connected to the public sewer system, it's mandatory. A ruling by the Court of Cassation in March 2021 emphasized the significance of the accuracy of this document and the potential legal consequences of errors.
So, what happened to Mrs. I.? Well, back in 2014, she sold a house to Mrs. Z., mentioning in the sales act that the house had a "conforming, satisfactory, complete, and in good working order" septic tank, based on a report dated March 28, 2012 by the public wastewater treatment service (SPANC). Oops!
After the sale, Mrs. Z. discovered malfunctions in the septic tank, requiring costly work to bring it up to standard. If a non-conformity of non-collective wastewater treatment facilities is discovered, the property owner must carry out the work within a year. Mrs. Z., obviously displeased, sought compensation for the damage.
The initial judges ruled against the mixed syndicate but for only 10,000 euros, while the cost of rebuilding the septic tank was estimated at 15,695 euros. They argued that the damage suffered by the buyer was limited to a loss of opportunity to negotiate the purchase price down.
However, the Court of Cassation disagreed. For them, the SPANC's responsibility is clear; the damage linked to the erroneous nature of the document drawn up following the inspection of non-collective wastewater treatment facilities is "certain." Fully compensating Mrs. Z. for the 15,695 euros cost of rebuilding the septic tank was deemed justice served.
Now, it's worth taking a moment to understand why mistakes in the diagnosis of non-collective wastewater treatment facilities can lead to serious legal problems. In many jurisdictions, errors can result in claims of breach of contract, negligence, warranty violations, or even environmental liabilities. Sellers are usually required to provide a comprehensive disclosure of the property's condition, including any defects in systems like wastewater treatment. Failure to comply with these requirements can result in legal action.
So next time you're selling your home, make sure you've got the right diagnoses in order, or you might find yourself paying a hefty price.
- In the realm of personal-finance and real-estate, accurate labeling of wastewater treatment facilities, particularly non-collective ones (ANC), is as important as energy performance diagnosis (DPE), to avoid costly mistakes.
- Understanding the significance of a wastewater treatment facility diagnosis is crucial, especially if your property isn't connected to the public sewer system, as inaccuracy can lead to legal repercussions, as demonstrated by the Court of Cassation's ruling in March 2021.
- Investing in the renovation of non-collective wastewater treatment facilities is necessary if non-conformities are discovered, as property owners are legally obliged to rectify the issues within a year.
- When selling a property, it is essential to provide a comprehensive disclosure of the property's condition, including any defects in systems like wastewater treatment, to avoid potential claims of breach of contract, negligence, warranty violations, or even environmental liabilities.
- Neglecting to ensure an accurate diagnosis of a property's non-collective wastewater treatment facilities can have severe financial implications. Sellers should be aware that failure to comply with disclosure requirements could result in hefty compensation payouts, like the 15,695 euros awarded to Mrs. Z. by the Court of Cassation.
