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Updated about 3 years ago on . Most recent reply

User Stats

14
Posts
7
Votes
Michael Lear
  • Flipper
  • South Orange, NJ
7
Votes |
14
Posts

Tank Sweep Company Missed Oil Tank

Michael Lear
  • Flipper
  • South Orange, NJ
Posted

Hi Everyone,

I purchased a property to flip about a year ago.  Prior to purchase, as is customary in NJ, I had a tank sweep company come investigate the property.  They indicated that there were no oil tanks on the property.  Fast forward a year later, we get an offer and the new buyers find an oil tank as part of their pre-purchase inspection.  I was completely shocked given that I had paid to have some one to look for a tank.  Anyway, the tank sweep company said they don't do oil tank removal and to take matters up with their insurance.  The adjuster says over the phone that they do not think the tank sweep company should be responsible for any removal costs which could go into 5 figures.  Has anyone else had this problem?  How should this be handled?  Any advice would be greatly appreciated.

-Mike

Most Popular Reply

User Stats

9,999
Posts
18,561
Votes
Joe Splitrock
  • Rental Property Investor
  • Sioux Falls, SD
18,561
Votes |
9,999
Posts
Joe Splitrock
  • Rental Property Investor
  • Sioux Falls, SD
ModeratorReplied

@Michael Lear I would pursue them for the full cost of removal due to gross negligence on their part. The only service they were contracted to provide to you is finding tanks. They did not perform the function. Other professionals can attest that had they done the scan, they would have found it. My guess is they were in a hurry and skipped the scan or they had a bad battery or some reason it didn't get picked up. Of course their adjuster is going to try to avoid responsibility. Get an attorney and have signed statements from the professionals.

Think of it another way. If I got in a car accident due to running a light by accident, would I be responsible for the damage that occurred? Mistakes have consequences, tell the weasel insurance adjuster that.

  • Joe Splitrock
  • Loading replies...