Supreme Court of Florida, 1985 480 So. 2d 625 Brief Fact Summary Davis (plaintiff) contracts to buy home from Johnson (defendant) and makes a $5,000 down payment installment. Before making the additional $26,000 down payment, Davis notices that roof is problematic. Further investigation reveals that roof needs major work, which was not disclosed by Johnson. Davis sues for rescission and return of $5,000 and Johnson counterclaims for the $26,000. Rule of Law and Holding: Seller has a duty to disclose when she knows of facts that affect the value of the home AND are NOT readily observable.

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