A buyer discovers a material defect in a property after settlement. Under which circumstances would they most likely have a successful claim against the vendor?
Correct Answer
B) The vendor knew of the defect and deliberately concealed it from buyers.
Caveat emptor means a vendor generally has no duty to point out defects the buyer could discover. Deliberately concealing a known defect is different: it can amount to fraudulent misrepresentation or deceit, and a claim for damages or rescission can survive settlement. An agent who takes part in the concealment also risks liability for misleading or deceptive conduct under the Australian Consumer Law and disciplinary action.
Why This Is the Correct Answer
Why the Other Options Are Wrong
Deep Analysis of This Property Law Question
Background Knowledge for Property Law
Real World Application in Property Law
Common Mistakes to Avoid on Property Law Questions
Related Topics & Key Terms
Key Terms:
More Property Law Questions
Under NSW Real Property Act, which of the following would NOT typically appear as a registered interest on a Certificate of Title?
In NSW, what is the primary legislation governing the sale of residential property?
In a new NSW strata scheme, on what basis must each lot's unit entitlement be set?
In a complex strata scheme dispute in NSW where a lot owner claims the owners corporation has incorrectly allocated special levy costs, and the owners corporation argues the allocation follows a validly passed special resolution, what is the most likely jurisdiction for resolving this matter?
In Queensland, if a contract for the sale of residential property is signed at auction, what cooling-off rights does the purchaser have?
- → A strata lot owner in Queensland wants to renovate their bathroom which involves moving plumbing that runs through common property walls. Under the Body Corporate and Community Management Act, what approval is typically required?
- → A property developer is selling off-the-plan apartments in Queensland. What is a key requirement under the Body Corporate and Community Management Act regarding the disclosure of estimated administrative fund contributions?
- → A property developer in Queensland must provide which document to purchasers before they sign a contract for an off-the-plan apartment?
- → Under Queensland law, what type of land tenure is most common for residential property?
- → In Queensland, which legislation primarily governs the registration of interests in land?
- → In Queensland, a buyer receives a copy of the residential contract signed by both parties on a Friday. With no public holidays in between, when does the cooling-off period end?
- → Under the Torrens title system in Queensland, which of the following is NOT an exception to indefeasibility of title?
- → A caveat lodged against a Queensland property title serves to:
- → Which of the following best describes an easement in Queensland property law?
- → Under Queensland law, a restrictive covenant attached to land is enforceable against:
People Also Study
Agency Practice & Law
138 questions
Contracts & Conveyancing
106 questions
Property Marketing & Sales
129 questions
Property Management
126 questions
Related Study Resources
Previous Question
In WA, what is the legal effect of an unregistered equitable interest when a bona fide purchaser for value registers their transfer at Landgate?
Next Question
A buyer purchases a property 'subject to finance' with a 14-day finance clause. On day 16, they attempt to withdraw due to loan rejection. What are their legal rights?