John Lamar Kennedy, Appellant v. Columbia Lumber and Manufacturing Company, Inc., Respondent

Summary

The court affirmed a directed verdict for a materials supplier that acquired and sold a home after a builder defaulted, holding that a mere lender is ordinarily not liable for implied warranty of habitability merely because it takes title and resells the property. The court also held that builders give an implied warranty of workmanlike service, enforceable by subsequent home purchasers despite lack of contractual privity, and that negligence claims are not barred by the economic-loss rule when the builder violates an independent legal duty. The court's discussion expanded protections available to purchasers of new residential housing.