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In April, 1999, a King County Superior Court 12 person jury returned a verdict against Windermere Real Estate for intention misrepresentation, fraudulent concealment and violation of the Consumer Protection Act. The Grahams were represented at trial by Matthew McCafferty of Thiel & McCafferty, PLLC. The jury awarded the Grahams $125,000.00 in economic damages, $50,000.00 in emotional distress damages and $10,000.00 for Consumer Protection Act treble damages. On motion, the Judge reduced the economic damages to 99,000.00, maintained the $50,000.00 in emotional distress damages and dismissed the Consumer Protection Act claim as a matter of law. The Judge further awarded the Grahams over $70,000.00 in attorney's fees and costs.
The Background:
Plaintiffs Richard and Beverly Graham purchased a Woodinville, Washington home from defendants Koniksons, who were represented in the transaction by agents Steve Green and Mary Wilhelm of Windermere Real Estate. Pre-sale, and during the replacement of the downstairs carpet, Mr. Konikson and Mr. Green discovered that the concrete basement slab had settled and and could still be settling. Neither the Koniksons, nor Windermere Real Estate, disclosed this condition to the Grahams.
Konikson, nervous about their combined knowledge of slab settlement, asked Steve Green about the Form 17 disclosures. Mr. Green directed Mr. Konikson to change the answers on Form 17 (regarding settlement) from "NO" to "DON'T KNOW" and thereby leave it up to the Grahams' inspector to discover the problem. Neither the Grahams nor their inspector uncoverd the slab settlement and the Grahams went ahead with the purchase.
The slab and foundation settlement worsened over time. Cracking appeared in the extrerior foundation and interior walls and countertops. A contractor estimated repairs at $95,000.00.