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Financial services

Management

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Communication

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Construction

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management

Transition

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South Jersey Office:

In response, the Association hired

various contractors, home inspectors,

and professional engineers to investi-

gate, test, and repair the source of the

water leaks.

BIG WIN...

from page 16.

Over the course of several years,

the condominium association gov-

erning the Belmont (“Association”)

attempted to fix a variety of con-

struction deficiencies that had been

identified and were suspected of

causing the water intrusion issues.

The water leaks continued however,

and in January 2007, the Association

stopped making repairs and filed suit

against Monroe Station and other

parties alleging negligence, fraud

and violations of the Planned Real

Estate Development Full Disclosure Act

and the Consumer Fraud Act (“CFA”).

The matter went to trial where the

testimony focused on the origin and

cause of the water infiltration, with

the Association’s experts attributing

the problem to construction defects

and Monroe Station’s experts blaming

poor or inadequate maintenance.

According to the Association’s

expert, the total estimated cost to

remediate the exterior and interior

of the Belmont was approximate-

ly $1,825,000.00. Conversely,

Monroe Station’s expert estimated

the cost of the necessary repairs to

be $741,000.00. The jury returned

a verdict in favor of the Association,

awarding it $2,186,675 in dam-

ages, with Monroe Station being

responsible for 80% of the dam-

ages ($1,749,340.00). The trial

court then awarded treble damages,

pre-judgment interest, and attorney’s

fees giving the Association a total

judgment against Monroe Station in

the amount of $7,236,677.

Monroe Station appealed the judg-

ment by challenging among other

things, (1) the Association’s standing

to recover for ascertainable losses

of members of the Association who

were not original purchasers; (2) the

Association’s standing to recover for

damages to windows which it argued

were not part of the common ele-

ments; (3) the applicability of the

CFA to the representations made

by Monroe Station, and (4) the trial

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