Kozikowski v. Toll Bros., Inc.

354 F.3d 16, 57 Fed. R. Serv. 3d 895, 2003 U.S. App. LEXIS 26458, 2003 WL 23095274
CourtCourt of Appeals for the First Circuit
DecidedDecember 31, 2003
Docket03-1460
StatusPublished
Cited by22 cases

This text of 354 F.3d 16 (Kozikowski v. Toll Bros., Inc.) is published on Counsel Stack Legal Research, covering Court of Appeals for the First Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Kozikowski v. Toll Bros., Inc., 354 F.3d 16, 57 Fed. R. Serv. 3d 895, 2003 U.S. App. LEXIS 26458, 2003 WL 23095274 (1st Cir. 2003).

Opinion

STAHL, Senior Circuit Judge.

Plaintiffs-appellants Stanley and Eunice Kozikowski appeal from the district court’s order granting defendant-appellee Toll Brothers, Inc.’s (“Toll Bros.”) motion to dismiss, converted by the court into a motion for summary judgment. The Kozi-kowskis challenge (1) the district court’s finding that the statute of limitations began to run on their claims in 1993; (2) the court’s finding that the Kozikowskis failed to establish equitable estoppel; and (3) the court’s decision not to permit mandatory discovery to the Kozikowskis prior to considering Toll Bros.’s motion to dismiss, which the court had converted to a motion for summary judgment. We affirm the district court, but on different grounds as to the Kozikowskis’ deceit claims.

I. BACKGROUND

On June 21, 1989, the Kozikowskis entered into a Purchase and Sale Agreement with Franklin Chase Limited Partnership. 1 The contract called for the purchase of a luxury home to be constructed in Franklin, Massachusetts for $285,900.00. The sale agreement provided the buyer with a so-called “insured” limited ten-year warranty against structural defects. On July 18, 1989, Toll Bros, applied for a building permit from the Town of Franklin. Following issuance of the permit, Toll Bros, commenced construction of the home. On December 14, 1989, after five months of con *19 struction, the Town issued a Certificate of Occupancy confirming that the home was fit for occupancy. Five days later, the closing took place and Franklin Chase transferred title to the Kozikowskis. The Kozikowskis and Franklin Chase also signed a separate agreement in response to the Kozikowskis’ complaints about certain construction deficiencies and deviations from the agreed-upon model of the home. In this separate agreement, Franklin Chase, as the “Seller,” agreed to construct and install, at no further cost, various extra items in the home. In exchange, the Kozikowskis agreed that “any and all construction deficiencies, including but not limited to those deficiencies which have been brought to the Seller’s attention, are forgiven and that any corrective action to be taken will be the Buyer’s responsibility,” and released “the Seller from any and all obligations to cause further corrective action to be taken therein.” The release explicitly stated, however, that Franklin Chase’s obligations under the ten-year limited warranty would remain in effect. The final purchase price was $335,685.00.

Over the next several years, the Kozi-kowskis’ complaints about the home continued. On September 17, 1992, the Kozi-kowskis and Franklin Chase entered into yet another agreement under which Franklin Chase paid the Kozikowskis $4,479.74 with the understanding that the Kozikowskis would use the money to repair chimney and fireplace problems. In turn, the Kozikowskis released both Franklin Chase and Toll Bros, from all claims relating to the home’s fireplace and chimneys.

In November 1992, the Kozikowskis filed a complaint with the Town of Franklin alleging a number of problems in the home’s construction. In February 1993, Allan Fraser, then the Town’s Building Commissioner, inspected the property and found thirteen building code violations, including problems with the home’s foundation, air circulation system, and certain parts of the home’s above-ground construction. Fraser ordered Toll Bros, to submit a written proposal for specific corrective action to address the problems as well as a specific time schedule for accomplishing the work. Fraser communicated with both the Kozikowskis and Toll Bros, with regard to this set of building code violations. Through its engineering consultant, Toll Bros, submitted proposals to correct the violations. Fraser approved the proposals but wrote to the Kozikowskis that it was beyond his authority to determine whether Toll Bros, would actually follow through with the remedial work and that “it is really between you folks and Toll Bros, to work out mutually acceptable times and access for completion of these items.”

Though Toll Bros, did resolve some of the Kozikowskis’ complaints unrelated to the building code violations, it failed to take care of the specific code violations that Fraser had identified. In 1994, the Kozikowskis threatened to file a formal complaint and contact the media in response to Toll Bros.’s failure to resolve their problems. Nothing immediately came of those threats. Later that year, Toll Bros, donated two thousand feet of paving to the Town, calling it an attempt “to help the Town with its increasing responsibilities due to residential development.” In a report to the Town Council, however, the Town Administrator stated that Toll Bros, made the donation to resolve “some problems with the Building Inspection Department.” 2 There was no *20 public indication that the “donation” had anything to do with the Kozikowkis’ complaints.

The situation with the Kozikowskis’ home remained largely unresolved despite repeated demands by the Kozikowskis. In August 1997, they offered to release Toll Bros, from all claims in exchange for an “all-season room” off the back of the house. On August 21, 1997, in an apparent response to a written complaint that the Kozikowskis had filed, Robert Toll, Chairman and CEO of Toll Bros., wrote to the Kozikowskis that he had passed their letter on 'to senior management and “assured [them] that [they would] be treated fairly.” On September 26, 1997, however, William Gilligan, Toll Bros.’s vice-president, responded to the Kozikowskis’ release offer and stated that Toll Bros, would neither build the all-season room nor “undertakfe] any additional corrective measures” because of the December 19, 1989 release agreement.

In January 1998, after members of the Kozikowski family experienced various illnesses, the Bay State Gas Company inspected the home, found high carbon dioxide levels, and advised the family not to use the fireplaces or any other wood-burning unit. The Kozikowskis contacted Gilligan, who despite his previous letter, suggested that the Kozikowskis schedule an appointment to inspect the problem and that if the problem was Toll Bros.’s responsibility, “we will correct it.”

In July 1998, a second inspection of the home by the Town Building Commissioner, now Matthias Mulvey, revealed eighteen building code violations, many of them identical to the violations found in 1993. The Commissioner sent a letter to Toll Bros, advising them of the violations. Subsequently, the Norfolk County District Attorney brought a criminal complaint against Toll Bros., which was ■ ultimately dismissed. On April 23, 2001, the Kozi-kowskis demanded relief from Toll Bros, under Massachusetts consumer protection laws. Settlement talks failed and the Ko-zikowskis commenced suit against Toll Bros, in superior court for (1) common law deceit, (2) deceit as a violation of Mass. Gen. L. ch. 93A, (3) breach of express warranty, and (4) breach of express warranty in violation of Mass. Gen. L. ch. 93A.

Following removal of the case to federal court, Toll Bros, moved to dismiss the complaint as time-barred. On September 12, 2002, the district court held a hearing on Toll Bros.’s motion to dismiss and converted the motion to dismiss to a motion for summary judgment.

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

Related

Mover v. Jaurigui
C.D. California, 2022
Pena v. Honeywell International, Inc.
923 F.3d 18 (First Circuit, 2019)
Jenkins v. American Transport, Inc.
195 So. 3d 996 (Court of Civil Appeals of Alabama, 2015)
Benton v. Clegg Land Co.
99 So. 3d 872 (Court of Civil Appeals of Alabama, 2012)
Luar Music Corp. v. Universal Music Group, Inc.
847 F. Supp. 2d 299 (D. Puerto Rico, 2012)
Donald Masters v. Boston Scientific Corporation
404 F. App'x 127 (Ninth Circuit, 2010)
Arborway Committee v. Executive Office of Transportation & Construction
25 Mass. L. Rptr. 404 (Massachusetts Superior Court, 2009)
Maldonado v. Municipality of Barceloneta
252 F.R.D. 113 (D. Puerto Rico, 2008)
Scrushy v. Tucker
955 So. 2d 988 (Supreme Court of Alabama, 2006)
McGhee v. Martin
892 So. 2d 398 (Court of Civil Appeals of Alabama, 2004)

Cite This Page — Counsel Stack

Bluebook (online)
354 F.3d 16, 57 Fed. R. Serv. 3d 895, 2003 U.S. App. LEXIS 26458, 2003 WL 23095274, Counsel Stack Legal Research, https://law.counselstack.com/opinion/kozikowski-v-toll-bros-inc-ca1-2003.