Hoffman v. Connall
Washington Supreme Court
736 P.2d 242 (1987)
The Connalls (defendants) told their broker, Huggins (defendant, working with Cardinal Realty), firm but ultimately inaccurate assurances about certain ambiguous property boundaries, which Huggins accepted without independent investigation; the Hoffmans (plaintiffs) bought the property and later discovered structures like a corral and barn encroached up to 21 feet onto the neighboring lot, costing nearly $6,000 to fix. The Hoffmans sued the Connalls, Huggins, and Cardinal Realty for misrepresentation; the trial court found the Connalls unaware of any problem and the brokers reasonably prudent, but the court of appeals reversed, holding owners and brokers liable even for innocent misrepresentations, prompting Supreme Court review.
Whether a real estate broker is liable for innocently misrepresenting a material fact to a purchaser, or automatically negligent for failing to independently verify a seller's factual representation.