Bianchi v. Lorenz

Defendants Michael and Karen Lorenz appeal from a judgment entered against them holding that a sale of property that was in violation of zoning laws breached the covenant against encumbrances in a warranty deed. We affirm the judgment and hold that an encumbrance exists when the seller can determine from municipal records that the property is in violation of local zoning law at the time of conveyance and the violation substantially impairs the purchaser’s use and enjoyment of the property. We reverse the award of post-judgment interest and remand for recalculation.

In 1986, defendants…