Date: 07-31-1998

Case Style: Larry Harris and Susan Harris v. Aronov Realty Company, Inc. and Aronov Realty Brokerage, Inc.

Case Number: 1960481

Judge: William R. Gordon

Court: Circuit Court, Montgomery County, Alabama

Plaintiff's Attorney: Richard Jordan, Randy Myers, Benjamin L. Locklar and Ben Locklar

Defendant's Attorney: Dennis R. Bailey, Robert C. Ward, Jr., and Rachel Dennis R. Bailey,

Description: Fraud, specifically fraudulent suppression and active concealment - In 1973, Aronov purchased a large tract of land in Prattville, and, for a number of years, it leased the property to farmers. At trial, two farmers testified that they had seen evidence of a cemetery on a portion of the land.

In late 1992, Aronov began developing the Pecan Ridge subdivision on the land. John Boutwell, a farmer who previously had leased the land, saw the work being done and tried to find the cemetery but discovered that the tombstones had been removed. He mentioned this to his lawyer, who told the mayor of Prattville.

In August 1993, Larry Harris and his wife Susan Harris purchased a lot in Pecan Ridge. Construction of the Harrises' home began during the first week of September 1993.

In October 1993, the City of Prattville contacted Boutwell to confirm the information about gravesites on the land that was being developed as Pecan Ridge. A representative from the mayor's office could not locate tombstones on his first visit to the site; however, on a second visit, he found a block that appeared to have been a "footstone" marker for a grave. A city employee photographed the stone, and the information was given to the city attorney. The city attorney contacted Joe Watkins, an employee of Aronov.

In November 1993, the City stopped the grading in progress on the lot adjacent to the Harrises' lot. The City told the contractor it was a violation of Ala. Code 1975, § 13A-7-23.1, to desecrate or destroy a cemetery. The contractor notified Aronov. Aronov notified its in-house accountant, so that the lot could be removed from the tax rolls and Aronov could avoid paying taxes on the property (cemeteries are not subject to ad valorem taxation). Aronov also returned the deposit a builder had made on the lot adjacent to the Harrises' lot.

The Harrises' home was completed in November 1993, and they closed the loan on their home on November 17. Before the closing on the house, Aronov did not tell the Harrises that a cemetery might be located near their lot.

On December 1, 1993, at the direction of Aronov, a "ground penetrating radar" ("GPR") test was performed on the lot adjacent to the Harrises' lot. The test confirmed the presence of anomalies (inconsistencies with undisturbed soil) that indicated the possibility of gravesites. On December 26, 1993, Aronov placed a series of public notices in the Prattville Progress newspaper announcing that if graves were found, they would be opened and the contents removed. The Harrises testified that they did not know about the public notices.

In early January 1994, the Harrises' builder came to their home to make a repair. He told Mrs. Harris he had heard about the possibility that there were gravesites on the adjacent lot. After tests conducted on February 8, 1994, confirmed the presence of gravesites on the Harrises' lot as well, an Aronov representative went to the Harrises' home and told them about the gravesites. The Aronov representative testified that they discussed possible solutions, and that the Harrises indicated that they had no problem with Aronov's proposals or collecting the situation and told him they "would think about it."

Outcome: Defendant's verdict.

Plaintiff's Experts: Unknown

Defendant's Experts: Unknown

Comments: Affirmed by the Supreme Court of Alabama. See: 723 S.2d 610 (Ala. 1988). The date shown above is the date of the appellate court decision and not the trial date.