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Rachel Bloom sues house flipper for real estate fraud over alleged ‘serious defects’: report

October 21, 2019 By Nate Day

Actress Rachel Bloom and her husband Daniel Gregor are suing their house flippers after allegedly finding “serious defects” in their home, according to a new report.

According to the Hollywood Reporter, Bloom alleges that RUN Group — founded by Raul Menjivar and Brandon Hance, who are partnered with football star Matt Leinart — deliberately concealed defects in the home before selling it to her.

In the complaint, obtained by the outlet, attorney Devin McRae writes that RUN Group’s “scheme involves purchasing older residential properties, conducting sub-standard remodeling work (including concealing material defects in the properties through cosmetic fixes), providing incomplete and materially misleading disclosures to prospective buyers, and ultimately selling the properties to unwitting buyers who are left to discover Defendants’ fraud and shoddy remodeling years later, after the entity that sold the property is long since out of operation.”

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Bloom, 32, and her husband reportedly purchased the home in 2015 for $1.3 million but didn’t discover the defects until much later, per THR. The couple alleges that sales paperwork stated that the sellers were unaware of any issues that arose during the remodel.

According to THR, leaking windows allegedly led them to find “severe rot” covered up by new drywall. Upon futher investigation, they allegedly found “numerous substantial concealed defects” including “completely inadequate and essentially cosmetic” earthquake retrofitting, the outlet reported.

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Bloom claims cracked walls, sloping floors, baseboards separating from walls, doors not opening and shutting properly and even foundation issues among the defects left behind by RUN Group, reported THR.

The duo has spent $500,000 on repairs thus far, according to the outlet, citing the complaint.

Charges brought against RUN Group include fraud, negligent misrepresentation, violation of real estate disclosure codes and unjust enrichment, reported THR. Per the outlet, Bloom is seeking compensatory damages of at least half a million dollars plus punitive damages from Menjivar and his team.

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Bloom won a Golden Globe for playing Rebecca Bunch in “Crazy Ex-Girlfriend,” which she also, wrote, produced and wrote music for. Her next role will be playing Barb, the villain, in “Trolls World Tour.”

Neither Bloom or RUN Group immediately responded to Fox News’ request for comment.

Filed Under: Entertainment

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