Paralegal

Category - Judgement

A farmer owns farmland in a rural county. On a portion of the farmland, the farmer once ran a crop-dusting operation, including underground storage containers for pesticides and fuel, a hangar for the crop-dusting airplane, and a landing strip. The farmer decides to sell the portion of the farmland once used for the crop-dusting operation. A buyer is interested in purchasing the parcel and does all the necessary due diligence. Through this due diligence, the buyer learns that: (1) an employee-pilot was killed on the parcel when attempting to land a crop-dusting plane; (2) an underground fuel-storage tank once had a leak and contaminated the ground; (3) the crop-dusting business was once sued for use of a now-banned pesticide; and (4) the farmer grows corn on the farmland next to the leaky underground fuel-storage tank. Which of these four matters is most likely to discourage the buyer from purchasing the parcel?
  1. The employee-pilot who was killed while attempting to land a crop-dusting plane.
  2. The underground fuel-storage tank that leaked and contaminated the ground.
  3. The crop-dusting business was once sued for use of a now-banned pesticide.
  4. The farmer grows corn on the farmland next to the ground contaminated by the leaky underground fuel-storage tank.
Explanation
Answer: B - The underground fuel-storage tank that leaked and contaminated the ground. Answer B is most likely to discourage the buyer because the contamination may make the parcel unusable. Both Answer A and Answer C would not discourage the buyer because they both relate to past events involving the crop-dusting operation and did not involve the parcel or title to the parcel. Answer D, if it is discouraging to the buyer, would be less discouraging than the ground contamination itself.
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