What are the elements of negligent misrepresentation in a real estate application?

British Columbia, Canada


The following excerpt is from Hamilton v. Callaway, 2014 BCSC 158 (CanLII):

With regards to the next two elements of negligent misrepresentation, a previous judgement is of assistance. In Sask v. Brooke, 2000 BCSC 1745, there was a sale of a “leaky condo”. In the property disclosure statement, the vendors answered “no” to questions about whether they were aware of any structural problems, any damage due to water and any roof leakage or unrepaired damage. However, minutes disclosed by the vendors described problems with water leaks. As in the subject applications, the vendors signed a statement with regards to their obligation to provide accurate information. As well, the purchaser signed a statement that, among other things, said a prudent buyer will use the information disclosed by the vendors as a “starting point for their own inquiries.” The purchasers commenced an action in negligent misrepresentation; this was dismissed.

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