James owned real estate.He leased the building to two tenants.An insurance agent leased the first floor and a law firm leased the second floor.James later sold the land to Mary,who used the entire building for her business.She discovered that there were hazardous material storage tanks buried in the land.She removed the tanks,and then sued James and the former tenants for the cost of removing the tanks,even though none of them knew the tanks had been there.Which of the following statements is correct?

Question

Quizplus · Accepted Answer

James, as the previous owner who sold the property to Mary, is typically responsible for any existing conditions on the property, including the hazardous material storage tanks, regardless of his knowledge about them. The tenants, who merely leased space and did not have ownership interests, would not be held liable for the condition of the property itself.

James Owned Real Estate