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Case Study: Boomer Dev., LLC v. Nat'l Ass'n of Home Builders of the United States



This case study is a breach of fiduciary duty claim against a nonprofit trade association for fraudulent and negligent misrepresentation. The trade association allegedly misrepresented the soundness, integrity, and safety of a loan program without properly investigating it. For good measure, it also received a share of the loan application fees. Court focused on the pleading requirements for breach of fiduciary duty claims and the application of those elements. Specifically, the court had to focus on the crucial question of what is considered a fiduciary or confidential relationship to trigger the duties of loyalty and care normally attendant to nonprofit corporate officers.

The case can be found here:

https://casetext.com/case/boomer-dev-llc-v-natl-assn-of-home-builders-of-the-united-states-4