Warren H. Smith, Petitioners v. National Resort Communities, Inc., Respondent

Summary

The Texas Supreme Court reversed the trial court and Court of Civil Appeals, granting rescission of the Smiths' contract for a lakefront lot and awarding the purchase price plus legal interest and incidental costs. The Court held that the developer failed to disclose a material flood easement and the lot's elevation, and that the reservation documents did not provide adequate notice. Justice McGEE dissented, arguing the lower court's judgment should be affirmed.