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CPA Claim Is Only Claim to Survive in Harbor Homes Appeal

By  John Parnass
10.21.08
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In this case, 10 homeowners who bought homes from the original purchaser-occupants of a Harbor Homes project in Snohomish County sued the original developer (Harbor) for construction defects.  Each claim (save the Consumer Protection Act claim) was mowed down by Division One as follows: Implied Warranty of Habitability.  Because this warranty only extends to original purchaser-occupants and may not be assigned to subsequent purchasers, this claim was dismissed. Intentional Fraud.  The Court held that this claim is barred by the economic loss doctrine. Assignment of CPA and Contract Claims.  The Court upheld the validity of the assignments of claims made from the original purchasers to the next generation buyers, thereby allowing the subsequent purchasers to bring Consumer Protection Act and contract breach claims that were once owned by the original buyers. Merits of CPA Claim.  On the merits, the Court held that the homeowners presented sufficient evidence to avoid summary judgment on their CPA claims and that they were entitled to a full trial. Merits of Good Faith and Fair Dealing Claim.  For their assigned contract claim, the homeowners alleged that Harbor violated the implied duty of good faith that exists in any contract.  They evidently failed to point to any specific contractual term that was violated, however, and on that ground the Court dismissed this claim. Copy of opinion also available here Download file

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