Al-Roubaihy v. Council of Co-Owners of Colchester Towne Condominium-Section One

60 Va. Cir. 194, 2002 Va. Cir. LEXIS 284
CourtVirginia Circuit Court
DecidedOctober 9, 2002
DocketCase No. (Law) 205011
StatusPublished

This text of 60 Va. Cir. 194 (Al-Roubaihy v. Council of Co-Owners of Colchester Towne Condominium-Section One) is published on Counsel Stack Legal Research, covering Virginia Circuit Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Al-Roubaihy v. Council of Co-Owners of Colchester Towne Condominium-Section One, 60 Va. Cir. 194, 2002 Va. Cir. LEXIS 284 (Va. Super. Ct. 2002).

Opinion

By Judge Jonathan C. Thacher

This matter came before the Court on August 23, 2002, and was taken under advisement to determine whether Defendant Council of Co-Owners of Colchester Condominium’s Demurrer should be sustained. For the reasons set forth in this opinion letter, Defendant’s Demurrer is sustained to Counts I, n, and DI without leave to amend. The Demurrer is sustained as to Count IV with leave to amend.

On April 11, 2002, Defendant Council of Co-Owners of Colchester Towne Condominium-Section One offered Condominium Unit No. 7981, C-3, Colchester Towne Condominium, Section 1, for public sale, pursuant to Va. Code Ann. § 55-79.84(1). In the public advertisement for sale of the condominium required under Code § 55-79.84(T)(2), Defendant stated, in part:

The unit is subject to deed of trust recorded at Deed Book 10535, Page 0570, and Notice of Assignment of Deed of Trust recorded at Deed Book 11717, Page 0165, among the land records of Fairfax [195]*195County, Virginia. The original principal amount secured by the Deed of Trust is $28,900.00....
The information contained herein was obtained by sources deemed to be reliable but is offered for information purposes only. The Condominium Association cannot make any representations or warranties with respect to the accuracy of this information.

At the public sale, Plaintiff Al-Roubaihy submitted the highest and winning auction bid of $10,000.00 for the condominium unit believing that the unit was subject to the $28,900.00 deed of trust. Plaintiff alleges he subsequently learned that the condominium unit was subject to a $42,200.00 deed of trust.

In the Motion for Judgment, Plaintiff seeks damages for violation of the Virginia Consumer Protection Act; for violation of Va. Code Ann. § 18.2-216, Untrue, Deceptive, or Misleading Advertising; for constructive fraud; and requests, in the alternative, a petition to void the sale pursuant to Va. Code Ann. § 55-79.84(f)(4).

Defendant filed a Demurrer and Motion Craving Oyer requesting that Plaintiff make the advertisement for sale part of his Motion for Judgment. Defendant’s Motion was granted and the text of the advertisement was made part of the Plaintiff’s pleading.

Standard of Review

A demurrer tests whether the plaintiffs pleading states a cause of action upon which relief can be granted. Va. Code Ann. § 8.01-273(A) (Michie Supp. 1993). In considering a demurrer, the Court must apply the settled rule that a demurrer admits the truth of all well-pleaded facts, and all reasonable inferences fairly and justly drawn from the facts alleged must be considered in the aid of the pleading. Fox v. Custis, 236 Va. 69, 71, 372 S.E.2d 373, 375 (1988). A court properly views the pleading in the light most favorable to the plaintiff. See, e.g., W. S. Carnes, Inc. v. Board of Supervisors, 252 Va. 377, 385, 478 S.E.2d 295, 303 (1996).

When a demurrant’s motion craving oyer has been granted, the court, in ruling on a demurrer, may properly consider the facts alleged as amplified by any documents added to the record on the motion. Ward’s Equipment, Inc. v. New Holland N. Am., Inc., 254 Va. 379, 382, 493 S.E.2d 516, 518 (1997). These documents are properly considered in determining whether a valid cause of action has been pleaded. Welding, Inc. v. Bland County Service [196]*196Auth., 261 Va. 218, 227, n. 3, 541 S.E.2d 909, 914, n. 3 (2001); see also Flippo v. F. & L. Land Co., 241 Va. 15, 17, 400 S.E.2d 156, 158 (1991).

Count I: Violation of the Virginia Consumer Protection Act

The Virginia Consumer Protection Act makes unlawful certain fraudulent acts or practices committed by a supplier in connection with a consumer transaction. Va. Code Ann. § 59.1-200 (Michie Supp. 2002). Plaintiff claims that Defendant’s advertisement for public sale of the condominium violates § 59.1-200(A)(14), which prohibits using deception, fraud, false pretense, false promise, or misrepresentation in connection with a consumer transaction. However, § 59.1-199 of the Act excludes “Any aspect of a consumer transaction which aspect is authorized under laws or regulations of the Commonwealth....” Public sale of a condominium by a unit association for failure to pay assessments and the advertisement of that sale is authorized under § 55-79.84(1) of the Virginia Code and is therefore excluded from application of the Virginia Consumer Protection Act. The Demurrer to this count is sustained without leave to amend.

Count II: Violation ofVa. Code Ann. § 18.2-216, Untrue, Deceptive, or Misleading Advertising, Inducements, Writing, or Document

Under Va. Code Ann. § 18.2-216, the use, in any advertisement, of“any promise, assertion, representation, or statement of fact which is untrue, deceptive, or misleading....” made with the “intent to sell” or “to induce the public” to enter into an obligation is prohibited. See Henry v. R. K. Chevrolet, 219 Va. 1011, 1014, 254 S.E.2d 66, 69 (1979); Jazayerli v. Renaissance Housing Corp., 55 Va. Cir. 49 (2001). Any person who suffers a loss as a result of false advertising may bring an individual action to recover damages under Virginia Code § 59.1-68.3.

The Colchester Condominium Association advertisement Plaintiff complains of does not fall within the bounds of a false advertising claim. The advertisement clearly states that the information contained in the ad was offered for “informational purposes only” and that the Condominium Association could not “make any representations or warranties with respect to the accuracy of the information.” This language makes it clear that the alleged misrepresentations were not made as statements of fact nor made with the intent to sell the condominium unit or to induce the Plaintiff to buy the unit.

[197]*197Plaintiff Al-Roubaihy entered into a legally binding contract for sale of real property and completed settlement having read the advertisement, including the language that put him on notice that the Association could not make any warranties regarding the accuracy of the ad. Where a party signs a contract and fails to take measures to acquaint themselves with the contract terms, such conduct is evidence of negligence. See Chesapeake Builders, Inc. v. Lee, 254 Va. 294, 300, 492 S.E.2d 141, 147 (1997). The demurrer to Count II is sustained without leave to amend.

Count III: Constructive Fraud

In order to state a cause of action for constructive fraud under Virginia law, it is necessary to allege that a false representation of a material fact was made innocently or negligently, and that the injured party was damaged as a result of his reliance upon the misrepresentation. Mortarino v. Consulting Engineering Servs., 251 Va.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Welding, Inc. v. Bland County Service Authority
541 S.E.2d 909 (Supreme Court of Virginia, 2001)
Ward's Equipment, Inc. v. New Holland North America, Inc.
493 S.E.2d 516 (Supreme Court of Virginia, 1997)
Chesapeake Builders, Inc. v. Lee
492 S.E.2d 141 (Supreme Court of Virginia, 1997)
W. S. Carnes, Inc. v. Board of Supervisors
478 S.E.2d 295 (Supreme Court of Virginia, 1996)
Mortarino v. Consultant Engineering Services, Inc.
467 S.E.2d 778 (Supreme Court of Virginia, 1996)
Flippo v. F & L LAND CO.
400 S.E.2d 156 (Supreme Court of Virginia, 1991)
Fox v. Custis
372 S.E.2d 373 (Supreme Court of Virginia, 1988)
Evaluation Research Corp. v. Alequin
439 S.E.2d 387 (Supreme Court of Virginia, 1994)
Henry v. R. K. Chevrolet, Inc.
254 S.E.2d 66 (Supreme Court of Virginia, 1979)
Jazayerli v. Renaissance Housing Corp.
55 Va. Cir. 49 (Fairfax County Circuit Court, 2001)

Cite This Page — Counsel Stack

Bluebook (online)
60 Va. Cir. 194, 2002 Va. Cir. LEXIS 284, Counsel Stack Legal Research, https://law.counselstack.com/opinion/al-roubaihy-v-council-of-co-owners-of-colchester-towne-condominium-section-vacc-2002.