Case study explores legal disclosure of haunted properties in real estate transactions, suggesting significant implications for market value.
This paper examines the legal implications of stigmatized property, particularly properties alleged to be haunted or associated with paranormal history. Using a doctrinal and comparative approach, the study analyses whether psychological stigma should be considered a material fact requiring disclosure in real estate transactions. The research draws upon major judicial decisions including Stambovsky v. Ackley, Reed v. King, and Johnson v. Davis, while evaluating the position in India, Hong Kong, and New York. The paper argues that although paranormal claims cannot be scientifically verified, their impact on market value, buyer autonomy, and contractual consent is sufficiently significant to justify disclosure obligations in appropriate circumstances.
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Athish M (2026) studied this question.
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