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STATE OF MICHIGAN COURT OF APPEALS

DANIEL MEYER and JENNIFER MEYER, Plaintiffs-Appellants, v THURMAN UNDERWOOD and DENISE UNDERWOOD, Defendants-Appellees.

UNPUBLISHED May 19, 2011

No. 292351 Wayne Circuit Court LC No. 07-733093-CK

Before: SERVITTO, P.J., and HOEKSTRA and OWENS, JJ. PER CURIAM. In this action concerning the purchase of a house, plaintiffs appeal as of right the trial court's order granting summary disposition under MCR 2.116(C)(10) to defendants. We affirm in part and reverse in part. I. BASIC FACTS Defendants were the original owners of a house in Northville. They purchased the house in 2001 and resided in it until 2006. On November 16, 2006, defendant Denise Underwood executed a seller's disclosure statement, in which she indicated that there had been no evidence of water in the basement/crawl space or of leaks in the roof. She also indicated that defendants were not aware of any settling, flooding, drainage, structural, or grading problems. Plaintiffs received a copy of the seller's disclosure statement in May 2007, when they made an offer on the house. Plaintiffs and defendants entered into a purchase agreement later in May 2007. The agreement contained the following provisions: 9. AS IS CONDITION: By the execution of this Agreement, the Purchasers acknowledge THAT THEY HAVE EXAMINED THE ABOVE described property and are satisfied with the physical condition of structures thereon and purchase said property in an "AS IS CONDITION," subject only to the right of a property inspection. . . . 10. SELLER'S DISCLOSURE: Purchaser has received and acknowledged the Seller's Disclosure Statement required by Michigan law. Purchaser has reviewed -1-

and accepts the condition of the property per the Seller's Disclosure Statement, subject to any additional inspections or contingencies set forth in this Agreement. *** 23. REPRESENTATIONS OF SELLER: Seller represents that the foundation, foundation walls and basement are watertight and free of any leakage, or seepage, as of the date of this Agreement or as disclosed. Seller further represents that the property is not in violation of any building and/or zoning restrictions and/or requirements, or in violation of any law or ordinance or as disclosed. Plaintiffs had an independent inspection completed on the house in June 2007. The inspection report contained the following findings with regard to the house's siding:

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