Kannavos v. Annino

356 Mass. 42, 247 N.E.2d 708 (1969)

Facts

Annino (D) owned a one-family house. Without a building permit and in knowing violation of city zoning laws, she converted the house into a multifamily building with eight apartments. D decided to sell the property. D's real estate broker advertised the property as an apartment building in an ad that indicated that the buyer could make money renting the eight apartments in the building. P had come to the U.S. in 1957 and received the equivalent of a high school education. He learned to read and write English at night school. He had no previous experience in real estate before these events. No statements were made by D or the real estate agent at any time during the negotiations or closing, with respect to zoning or building permits. P had no prior experience with real estate. He was unaware of any zoning or building permit violation and would not have purchased the property if he had known of any such violation. Without the aid of a lawyer, Kannavos (P) bought the property without asking about zoning or building permits, and without checking the public record. After the sale, the city started legal proceedings against P. P brought a bill in equity against D to rescind the purchase. The trial court granted the rescission, and D appealed.