Real Estate & Lease Litigation: January 2013 Archives

Appeals Court Carves Out Condominium Exception to 'Economic Loss Rule'

The "economic loss rule" prohibits a plaintiff from suing for negligence to recover "pure economic losses," such as lost profits or the cost of replacing an allegedly-defective product. The rule requires a showing of harm to person or property in a negligence case. If a defective product is involved, any property damage asserted must involve property other than the defective product itself.

For Large Project Permitting Appeals, No Removal From Land Court's Permit Session to Housing Court

In a decision handed down just last week, the Appeals Court ruled that a large project permitting appeal filed in the Land Court's six-year-old permit session cannot be removed to the Housing Court, since the Housing Court lacks jurisdiction over such matters. In Buccaneer Development, Inc. v. Zoning Board of Appeals of Lenox, Appeals Ct. No. 1-P-1159, the Appeals Court vacated a Housing Court judgment upholding the Town of Lenox's denial of a special permit for construction of a twenty-three home retirement community, and remanded the matter to the Land Court for a new trial.

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