States v. Neustadt

In States v. Neustadt (1961) 366 U.S. 696, the Federal Housing Administration had negligently furnished an inaccurate inspection and appraisal report on property, as a result of which the purchaser was induced to pay a price in excess of fair market value. The high court held in Neustadt that the federal act, which grants immunity for misrepresentation, was a bar to any recovery by the purchaser.