LEGAL SPOTLIGHT
LEGAL SPOTLIGHT
Practicing Real Estate in NH is a Privilege, Not a Right
BY MATTHEW R. JOHNSON, Esq.
A recent appeals court decision out of Massachusetts stands as a cautionary reminder of the need for precision and caution when making representations as either a real estate agent or owner regarding anticipated improvements to property.
In Bucci v. Campbell, the appeals court of Massachusetts affirmed a jury verdict finding the sellers, one of whom was also a real estate agent, liable for several claims including negligent misrepresentation. The case hinged on a dispute over whether the listing agent had advised another party that the lot would be hooked up to natural gas. The real estate agent vehemently denied this statement. However, there was no documentation to support her version of the discussion, and the jury did not believe her and found that she had, in fact, misrepresented to the other party that the lot would be able to tie into natural gas.
What makes this case most concerning for real estate agents is the further treatment by the appeals court. At the trial court level, the jury found against the real estate agent, but the trial court judge found for the real estate agent on Massachusetts’ version of its Consumer Protection Act. The trial court found that the agent may have been negligent but that this conduct did not give rise to liability under the Consumer Protection Act. The appeals court reversed that finding and held that the negligent conduct by the real estate agent in making the misrepresentation was sufficient to impose liability under the Consumer Protection.
This case is a particularly cautionary tale because New Hampshire courts often look at how Massachusetts courts interpret that state’s Consumer Protection Act. The language of the two statutes is not the same, but there is a general recognition by New Hampshire courts that the public policy behind the statutes is the same, so New Hampshire courts look to the more well-developed body of law in Massachusetts often when analyzing New Hampshire’s Consumer Protection Act.
Under the New Hampshire statute, if a party is found to have violated the New Hampshire Consumer Protection Act, that party is responsible for paying all or a good portion of the legal fees of the prevailing party as well as up to treble damages if the court determines that the conduct was willful. Under the Bucci case, there did not appear to be a willful finding, so the enhanced damages might not apply, but it does show that the risk of such conduct can include being liable for actual damages plus attorneys’ fees.
For all these reasons, it is important to remember to be exceedingly careful in any statements that you make to any potential buyers or third parties regarding the property, particularly regarding anything that may be added to the property in the future. Additionally, it is important to document, with some form of writing, your communications with those parties. That way, if there is ever a disagreement or confusion in the future, you can point to a specific paper trail that supports your testimony.
When in doubt, or if you have any concerns about statements for listings, please consult with your broker to obtain real-time advice about how to handle such situations.
Matthew R. Johnson is a shareholder with Devine Millimet and serves as legal counsel to the New Hampshire Association of Realtors.
UNDER THE DOME
‘CONTINUOUSLY STRIVE’
BY BOB QUINN
The 2026 legislative session is officially complete, and NHAR has created a New Laws in Real Estate Guide to help members understand the changes that could affect their business and their clients.
The Preamble to the NAR Code of Ethics reminds Realtors that they must “continuously strive to become and remain informed on issues affecting real estate.” Staying current on changes to New Hampshire law is an important part of that responsibility.
Our new guide provides a straightforward overview of the legislation enacted this year and what Realtors need to know as these new laws take effect.
The following are short synopses of a few of the new laws, for the complete and more detailed analysis of each new law please review the New Laws in Real Estate Guide by visiting NHAR.org, under “Advocacy” and “Public Policy Documents.”
Expanding certain approval exemptions in condominium developments
Senate Bill 415 – Chapter Law 245
Previous statutory requirements stated that if not more than 10 units are included in a condominium proposal, they would be exempted from certain review requirements of the Department of Justice.
This new law expands that exemption to not more than 25 units. That should reduce costs and alleviate construction delays.
The bill also grants the attorney general’s office discretion in requiring documentation demonstrating the financial capacity to finance and complete the project, as opposed to the current requirement that personal financial statements or tax returns must be submitted.
The bill is in effect immediately.
Relative to disclosure requirements for homeowners’ associations
House Bill 1523 – Chapter Law 306
All Homeowners Associations (HOA) are now required to maintain detailed records of receipts and expenditures affecting the operation and administration of the association and other appropriate accounting records, and to make those available to unit owners.
For instance, minutes of all meetings of board of directors (other than executive sessions), a record of all actions taken by the shareholders or members or board of directors without a meeting, and a record of all actions taken by a committee in place of the board of directors on behalf of the association are items which must be maintained and available to owners. Many other requirements, modeled on New Hampshire’s condominium statute, are also mandated under the new law.
The bill does not go into effect until Jan. 1, 2027, so members may want to assist HOAs to better understand these new requirements.
Relative to Multi-Family in Commercial Zones
House Bill 1010 – Chapter Law 319
House Bill 1588 – Chapter Law 329
These bills are intended to further clarify a developer’s ability to construct multi-family housing in commercial zones as established under 2025’s House Bill 631.
House Bill 1010 clarifies that when infrastructure, such as water and sewage, is not adequate, then it may be provided by the applicant in accordance with town’s regulations. Arguably, this was simply repeating what was already required for such developments, as site plan review was already required, but the legislature felt is was important to underscore.
Two important new clarifications were created. The first states multi-family dwelling units must be allowed as a matter of right, and municipalities cannot enforce additional requirements unless expressly authorized by state statute.
Secondly, any owner of commercially zoned property improperly denied an application for multi-family housing, or who is subjected to requirements beyond those allowed in this section, and who is forced to file suit against the municipality in order to exercise their property rights will be entitled to be reimbursed reasonable attorney’s fees incurred as a direct result.
The bills are currently in effect.
Relative to notice and proceedings for tenants and landlords engaged in eviction processes
House Bill 1598 – Chapter Law 308
The new law makes numerous changes to notice and proceedings of evictions. The bill was a compromise between landlord and tenant organizations, so there are some items assisting each. Most of the bill alters deadlines and timeframes during an eviction proceeding.
The new law does grant a court the ability to order tenant’s family, guests or occupants, not on the lease, to immediately vacate the premises. It also states a court may grant a discretionary stay of not more than 75 days. Under previous law, the court had discretion to allow up to 90 days before dispossession.
The bill goes into effect in October.
Relative to municipal authority over maximum road length and caps on dead-end roads
Senate Bill 564 – Chapter Law 316
The new law prohibits municipalities from placing limits on maximum road length, provided that the proposed roadway or extension fully complies with state fire code.
It also prohibits municipalities from imposing a cap on the number of housing lots on a dead-end road or street, unless cap is in compliance with state fire code and National Fire Protection Association standard 1141, and provided that the proposed lots otherwise comply with current zoning restrictions and requirements.
It also requires municipalities to allow the placement of utilities within or along buffer areas, or wetland buffers or conservation areas of a subdivision or lot by a special exception or conditional use permit.
Finally, the bill prohibits municipalities from imposing additional restrictions or requirements regarding building or lot size for affected properties before the effective date of the act.
The bill will go into effect in April 2027. ∩
Bob Quinn is Chief Executive Officer at the New Hampshire Association of Realtors.
