On The Legal Effects Of The Deal Of Haunted House

In the deal of second hand house,haunted house has always been one of the most important dispute.the People’s Court’s attitude toward this issue transforms from rejecting the claim on the grounds of superstition to acknowledging that the information on haunted house is the important information and that if the seller does not disclose, the buyer is entitled to revoke the contract. However, whether haunted house belongs to the defect of thing,we found the negative answer in practice.This paper falls into five parts. The first part, on the basis of relevant cases, divide the cases into two categories: Relieve and Revoke. Through the cases,the author finds such questions as: whether the seller should undertake warranty liability of defect of thing, contract faulting liability, whether he should disclose the information on haunted house and if he does not, whether he constitute deception.The second part, the author analyzes the warranty liability of defect of thing from 3 aspects:1. According the cases, the definition of haunted house is the house or place where unnatural deaths have happened, but whether the death caused by accidents belongs to unnatural deaths is not clear. The definition of haunted house and whether haunted house belongs to defect of thing are two levels of questions. Therefore, the definition of haunted house in this paper is: the house or place which make the residents upset and uneasy. 2. Firstly,it is necessary to clarify the standard of defect of thing. The current standard involves subjective and objective standard. Secondly, the theories on whether haunted house is defect of thing fall into "positive theory" and "negative theory". The biggest controversy is that "negative theory" believes that haunted house is a subjective standard of the party, which varies according to time, people, place and religion, whereas the "positive theory" believes that haunted house would depreciate and therefore in a defect of thing. Finally, the author believes that, in principle, without consent of parties, haunted house is defect of thing, but there are also exceptions. From the definition, it requires the standard of a rational person to determine the issue. From the nature of house, defects in value is not the only standard, and it requires the defects in utility. From the legal rules, the term "quality" shall be interpreted broadly.3. The warranty liability of defect of thing in China’s legal rules is integrated into the liability of breach of contract, there are also some exceptions.The third part studies the deception and contract faulting liability in the deal of haunted house. 1. To conceal the information deliberately is deception and to remain silent alone is not deception unless the seller has the obligation to disclose. 2.If a seller undertakes the obligation to disclose, the following conditions must be met:(1) Conform to the principle of honest;(2) Have large effects on the functions and value of the house;(3) It should be acknowledged by the custom. There are also some exceptions to this obligation, that is, the buyer must collect information on haunted house by himself and he must undertake the negative results because of his omission. 3. The legal effects of deception is that buyer is entitled to revoke and claim for compensation. 4. The contract faulting liability can be applied where the contract is revoked or valid. The legal effects of contract faulting liability is that buyer is entitled to claim for reliance interest, including direct and indirect interest.The forth part analyzes the legal effects of warranty liability of defect of thing, contract faulting liability, obligation caused by deception and responsibility caused by violation of collateral obligation, as well as the relation among them. The final part is conclusion.