In Paquin v. Four Seasons of Tennessee, Inc. the United States Court of Appeals for the Fifth Circuit held that the developer's failure to include in a required property report the fact that it was the wholly owned subsidiary of a bankrupt corporation was not a material misrepresentation under section 1404(a)(2)(B) of the Interstate Land Sales Full Disclosure Act.
Satterwhite, Michael E.
"Real Property--Interstate Land Sales Full Disclosure Act--Omission of Bankruptcy of Grandfather Corporation Not a Material Misrepresentation,"
Mercer Law Review: Vol. 27:
4, Article 20.
Available at: https://digitalcommons.law.mercer.edu/jour_mlr/vol27/iss4/20