Helmar v. Harsche

686 A.2d 766, 296 N.J. Super. 194, 1996 N.J. Super. LEXIS 481
CourtNew Jersey Superior Court Appellate Division
DecidedDecember 26, 1996
StatusPublished
Cited by8 cases

This text of 686 A.2d 766 (Helmar v. Harsche) is published on Counsel Stack Legal Research, covering New Jersey Superior Court Appellate Division primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Helmar v. Harsche, 686 A.2d 766, 296 N.J. Super. 194, 1996 N.J. Super. LEXIS 481 (N.J. Ct. App. 1996).

Opinion

The opinion of the court was delivered by

KLEINER, J.A.D.

Defendants Walter Harsche and Weichert Realtors appeal from a judgment entered after a jury verdict which determined that defendants had committed consumer fraud, proscribed by the Consumer Fraud Act, N.J.S.A. 56:8-1 to -20, and were liable to plaintiff Cheryl N. Helmar for $5,450. The verdict was trebled by the judge to $16,350, as required by N.J.S.A. 56:8-19.

Plaintiffs three-count complaint alleged that defendants committed fraud, consumer fraud, and were negligent in the sale of real estate. Plaintiffs fraud complaint was summarily dismissed on a pre-trial motion. At the conclusion of the trial, based on special interrogatories, the jury determined that although defendants were twenty-five percent negligent, plaintiff, “by the acts of others,” was seventy-five percent negligent. Plaintiff was thus denied damages on her negligence claim. The jury determined, however, that defendants had committed consumer fraud.

Prior to trial, defendants sought leave to name plaintiffs attorney in the real estate transaction as a third-party defendant. Defendants argued that the attorney was negligent and sought indemnification and contribution under the Joint Tortfeasors Contribution Law, N.J.S.A. 2A:53A-1 to -5, and an assessment of negligence under the Comparative Negligence Act, N.J.S.A. 2A:15-5.1 to-5.3. Defendant’s motion was denied, and the matter proceeded to trial.

At the close of plaintiffs case, and again at the close of all evidence, defendants sought dismissal of plaintiffs complaint. Both motions were denied. After the jury verdict, defendants [197]*197moved for judgment notwithstanding the verdict and, alternatively, for a new trial. Again, both motions were denied.

After the trial, plaintiffs counsel sought an award of counsel fees, filing fees, and reasonable costs of suit, pursuant to N.J.S.A. 56:8-19. Although counsel fees were awarded in a sum substantially less than requested, the trial judge denied the application for filing fees and reasonable costs of suit.

Defendants appeal, contending that the motion judge erred when he denied defendants’ motion to file a third-party complaint and that the trial judge erred when he denied the following motions: defendants’ motion for a dismissal of plaintiffs complaint at the close of plaintiffs case; defendants’ motion to dismiss at the close of all evidence; defendants’ motion for judgment notwithstanding the verdict; and defendants’ alternative motion for a new trial.

We conclude that the motion judge erred when he denied defendants’ motion to join plaintiffs former attorney as a third-party defendant, and that this error had a negative impact on the entire trial, thus necessitating a reversal of the judgment and a remand for a new trial on all issues.

Plaintiff cross-appeals, contending that the trial judge erred in reducing her application for attorneys’ fees and in denying her filing fees and reasonable costs of suit. Because of our decision on defendants’ appeal, we need not address plaintiffs cross-appeal.

I

In the spring of 1988, plaintiff, a widow, living in Willingboro and operating a pet grooming business on East Camden Avenue in Mo'orestown, noticed a Weichert Realtors sign on a triplex across the street from her business. Plaintiff inquired about the property, and defendant Harsehe, a real estate agent employed by defendant Weichert, advised plaintiff that the asking price for the triplex was $135,000. Harsehe also told plaintiff that the present owner occupied the first floor unit and rented the second and third [198]*198floor units. After several discussions, Harsche and the listing agent showed the property to plaintiff, who was accompanied that day by a friend, Linda Crim.

An exterior staircase led to a hallway on the second floor. An interior staircase from that hallway provided the only access to the third floor apartment. The owner1 and the listing agent stayed on the first floor while plaintiff, Crim, and Harsche viewed the second and third floor apartment units. While in the third floor unit, Crim asked Harsche whether a fire escape was needed. According to plaintiff,

[ Harsche] went into a closet and there was a metal ladder in the closet____ He brought it out. He took it over to the window and he showed us how you hook it on the window and you throw it over and you would climb down this ladder if there was a fire.

Plaintiff testified that Harsche assisted her in a financial analysis to determine whether she would be able to afford the property and meet her prospective mortgage obligation. Harsche also assisted plaintiff in completing a mortgage application. Once it [199]*199was determined that, with two rental incomes derived from the second and third floor units in the triplex, plaintiff would be able to meet her mortgage obligation, plaintiff made an offer to purchase the property for $125,000. The offer was accepted.

[198]*198Plaintiff recalled that Crim asked, “why does that replace a fire escape,” and Harsche responded that “he had talked to the fire marshal and that the fire marshal said that that was okay ... that was all you needed ... instead of a fire escape.” According to plaintiff, she and Crim specifically asked Harsche, “[d]oes this apartment need a fire escape,” and he answered, “[n]o.”

Plaintiff and Crim both remembered asking Harsche whether it was necessary to have “any kind of a license to run an apartment house,” and again he answered in the negative. Plaintiff testified that Harsche explained to her that since there were only three units in the building, one of which would be owner-occupied, plaintiff would be “in a special category” and would not be considered “a professional landlord.” Harsche also represented to plaintiff that the property was zoned for triplex use.

[199]*199Plaintiff signed the contract of sale, prepared by defendants, on April 11, 1988. Paragraph fifteen provided: “Seller makes no representation concerning existing zoning ordinances except that Seller’s use of the property is not presently in violation of any ordinances and that the present use as a triplex may be continued.”

Another disclaimer appeared in paragraph nineteen of the contract:

This contract is entered into by Seller and Buyer based upon their independent knowledge of the value of the property and their full understanding of the meaning of all the provisions of this Contract and not on any representations made by either of them to the other, or by the real estate broker or brokers involved.
The broker(s) named in this Contract, their personnel and associates have been acting as agents only for the Seller, and are not to be held liable either to Seller or Buyer for the performance or non-performance of any of the terms of this Contract. Seller and Buyer agree that they are entering into this Contract without any reliance upon any representations or statements which may have been made by personnel or associates of the realty firm(s).

According to plaintiff, Harsehe told her to retain an attorney to review the contract and attend the closing “for my own safety.” Plaintiff thereafter retained Louis Colaguori, Esq., although a formal retainer agreement was never prepared for plaintiffs signature.

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Cite This Page — Counsel Stack

Bluebook (online)
686 A.2d 766, 296 N.J. Super. 194, 1996 N.J. Super. LEXIS 481, Counsel Stack Legal Research, https://law.counselstack.com/opinion/helmar-v-harsche-njsuperctappdiv-1996.