Arnesen v. Rivers Edge Golf Club & Plantation, Inc.

Plaintiffs were individual investors in undeveloped real estate that purchased real property shortly before the collapse of the real estate market. In 2010, Plaintiffs commenced this action seeking to recover against a bank and its appraisers for their alleged participation in a scheme to defraud investors by artificially inflating property values. Specifically, Plaintiffs alleged that they would not have purchased the real property but for faulty appraisal information and that the bank should have disclosed the inflating appraised property values to them. The trial court granted Defendants’ motion to dismiss on the basis that Plaintiffs did not receive the appraisals at the time of their decisions to purchase. The Supreme Court affirmed, holding that because it was undisputed that Plaintiffs decided to purchase the investment properties without consulting an appraisal and obligated themselves to purchase the properties independent of the loan process, Defendants were entitled to dismissal of all claims. View "Arnesen v. Rivers Edge Golf Club & Plantation, Inc." on Justia Law