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recent Ohio appeals court decision serves as a reminder that buyers must conduct thorough due diligence when purchasing real estate. The Seventh District Court of Appeals rejected a buyer's claim of fraudulent inducement, citing the doctrine of caveat emptor or "let the buyer beware." This doctrine places a duty on the buyer to examine all conditions open to observation, including public records.

    The case involved the purchase of 143 acres in Belmont County, where the buyer was present during negotiations and reviewed email correspondences between attorneys. However, the buyer later discovered an easement that restricted development activities. The buyer claimed fraudulent inducement, arguing that the seller's attorney failed to mention the easement. The trial court agreed, but the Court of Appeals disagreed.

    The appeals court ruled that the buyer had a duty to investigate and examine discoverable conditions about the property, including public records. Since the easement was recorded in county public records, the buyer could not claim fraudulent concealment. The court emphasized that the buyer should have investigated the easement before finalizing the sale.

    This decision highlights the importance of due diligence in real estate transactions. Buyers must investigate and evaluate properties before making a purchase, including verifying ownership interests, identifying easements and deed restrictions, and investigating environmental issues. Hiring professionals can ensure thorough due diligence tailored to the property's specific needs.

    The doctrine of "let the buyer beware" demands that buyers take responsibility for their own research and investigation. As the Court of Appeals stated, "a seller of realty is not obligated to reveal all that he or she knows; a duty falls upon the purchaser to make inquiry and examination."