-- Frustrated Homeowner
“PREDFDA and its regulations require a developer to prepare a public offering statement (POS) which discloses ‘to prospective purchasers all unusual and material circumstances and features affecting the subdivision.’
“I agree with the questioner that, if known to the developer, the possibility of these off-site improvements being constructed directly across from the subject property should have been disclosed in the POS. Presumably, the developer was on notice as to these contemplated plans. The community is across the road from the area where the contemplated improvements were to be constructed. Therefore, the developer would have received the statutorily required notice of potential municipal consideration of the requested changes.
“Additionally, a developer is required to update a POS if there are any material changes to previously supplied information. If the consideration of the changes occurred after the publication of the original POS, the developer had a duty to amend the POS. The developer is also required to make annual reports of any changes to the New Jersey Real Estate Commission.
“In order to qualify for a remedy under PREDFDA, the affected landowner must prove a violation including any false, deceptive or misleading promotional or sales methods. Further, the affected landowner must be able to prove an ‘ascertainable loss of monies as a result of the failure of the developer to comply’ with PREDFDA.