KRAVITZ v. MUDRY

Evidence — Parol evidence rule — Written agreement of sale of real property — House to be constructed — Waiver of buyer's right to refuse to make settlement — Parol agreement by seller to make necessary repairs after settlement.

In this case, in which it appeared that the parties entered into a written agreement by which plaintiffs agreed to purchase a house under construction by defendant; that certain defects in materials and workmanship were not remedied and plaintiffs refused to take title or make settlement; that defendant orally agreed to remedy the defects, and plaintiffs made settlement in reliance upon this oral agreement of defendant, but because of the failure of defendant to subsequently remedy the defects the plaintiffs sustained certain damage; and that the court below, holding that, in the circumstances, the waiver of plaintiffs' right to refuse to make settlement, upon defendant's failure to properly construct the house, furnished a valid consideration for defendant's agreement to make the necessary repairs after settlement, and thus plaintiffs' cause of action was based on an entirely separate agreement, distinct from the agreement of sale, supported by consideration, and that evidence to establish this agreement was admissible, found for plaintiffs; it was Held that the order of the court below should be affirmed.

Submitted December 13, 1962.