Which Florida case established that a seller has a duty to disclose material defects to the buyer?

• A. Brown v. Clark
• B. Johnson v. Davis
• C. Smith v. Adams
• D. Green v. Rivera

Answer: (B)

In Florida, a seller has an affirmative duty to disclose known latent defects to the buyer in residential real estate transactions. This rule shifts away from pure caveat emptor and means the seller can’t hide defects that are not readily observable but are material to the buyer’s decision. Johnson v. Davis is the landmark case that established this duty, holding that if the seller knows about latent defects and the buyer relies on the lack of disclosure, the seller can be liable for misrepresentation or concealment. The defect must be latent and not easily discoverable through a reasonable inspection; if it’s obvious or otherwise discoverable, the disclosure duty doesn’t generally create liability. This case is the standard because it defines the seller’s responsibility to disclose known issues like hidden termite damage, water intrusion, or structural problems that a buyer wouldn’t uncover on their own.