Netflix’s Selling Sunset star Jason Oppenheim is being sued by an advertising mogul who claims the TV reality personality deliberately hid serious defects in a $5million Los Angeles mansion, DailyMail.com can reveal.
Philip Berardi, chief executive of the city’s biggest billboard company, is demanding substantial damages from Oppenheim and other defendants after allegedly discovering his new home was riddled with problems that landed him with $1.7million in repairs.
Oppenheim, 46, is accused of ‘fraud and concealment’ and committing ‘intentional misrepresentations’ while being ‘fully aware’ of the issues as listing agent for the six-bathroom, three-bedroom pad sold in February, 2023.
The star has gained national fame with the Netflix show that revolves around his high-end real estate brokerage firm The Oppenheim Group – with seven seasons since its 2019 premiere.
Selling Sunset’s Jason Oppenheim, 46, is accused in a lawsuit of ‘fraud and concealment’ and committing ‘intentional misrepresentations’ for selling a $5million home while allegedly knowing its defects
Berardi’s court papers say he only discovered problems with the impressive cube-style home after two serious rainstorms shortly after he moved in
Estimated repair costs are $1.7million, according to an expert, ‘and constitutes only a portion of the damages being pursued’, the court filing states. DailyMail.com obtained photos of the damage
A restoration firm opened the master bedroom ceiling and discovered a large plastic bowl that had overflowed after a bad storm, the filing states
But in papers filed to the California Superior Court in Los Angeles, both he and his company are accused by Berardi of covering up the true condition of the 4,668 sq. ft. home and breaching contractual obligations.
Oppenheim did not respond to DailyMail.com’s request for comment.
Berardi, who runs advertising giant Regency, is also suing sellers Brett Ersoff and his wife Lisa plus real estate firm Coldwell Banker, Richter Roofing, LaRocca Inspections and CMF Home Builders, according to documents obtained by DailyMail.com.
The papers also allege that nearly five years before the sale of the house in exclusive Hillside Avenue, the Ersoffs had a proposal from Richter which outlined work on the low, sloping flat roofed areas – but the work was never carried out.
Advertising mogul Philip Berardi claims he discovered his new home was riddled with problems that landed him with $1.7million in repairs
Berardi’s court papers say he only discovered problems with the impressive cube-style home after two serious rainstorms shortly after he moved in.
On the first, water leaked from the ceilings of three bedrooms. Water also pooled on a floor.
A water damage company began work, but during the second storm the same areas leaked, plus a second location in the master bedroom.
This time the restoration firm opened the master bedroom ceiling and discovered a large plastic bowl that had overflowed in the second storm, says the filing.
In addition, mold and fungus were found under plywood decks above the master bedroom ‘as a direct result of the defective conditions of the property’.
The paperwork adds: ‘An approximately five-foot gutter with a cap at the end was also discovered in the ceiling of the master bedroom, which was apparently installed to capture water from the leaking defective deck situated above the master bedroom.’
Decking on the roof appears angular in places, but the paperwork says the angle was not enough to shift water off it ‘causing extreme damage to the property and the presence of mold and fungus.
‘Additionally, the water damage resulted in severe dry-rot damage to the front end of the property’s deck, as well as termite infestations.’
And five months later, Berardi discovered what he alleges was another cover-up of a serious problem after finding the floor of a garage closet housing a tankless water heater was wet. The advertising mogul saw blue painters’ tape that held rags in place on the hot water reservoir tank.
‘Defendants Ersoffs and/or Oppenheim defendants placed the rags under the tank to collect water to conceal the leak in the tank that had been previously noted in an inspection report and made part of a request for repairs,’ said the filing.
The star has gained national fame with the Netflix show that revolves around his high-end real estate brokerage firm The Oppenheim Group – with seven seasons since its 2019 premiere
A construction forensic expert was called in and found ‘a multitude of defects and issues that not only compromised safety at the property, but also imposed significant financial burdens to Berardi’
Mold and fungus were found under plywood decks above the master bedroom ‘as a direct result of the defective conditions of the property’
A construction forensic expert was called in and found ‘a multitude of defects and issues that not only compromised safety at the property, but also imposed significant financial burdens to Berardi’, it added.
Estimated repairs costs are $1.7million according to the expert ‘and constitutes only a portion of the damages being pursued’, adds the court filing.
The complaint continued: ‘Considering these profoundly disturbing revelations, it is evident the property’s condition at the time of purchase was not accurately disclosed.
‘This situation has left Berardi in a severe state of distress, financial burden and uncertainty regarding the safety of this significant purchase and investment.’
It concluded: ‘The acts and conducts of the Ersoffs and Oppenheim defendants were extreme and outrageous and have caused Berardi to suffer severe anxiety, emotional and mental distress.
‘Defendants committed these acts and engaged in misconduct knowingly, intentionally and willfully… additionally defendants acted in reckless disregard of the probability that their actions and conduct would cause severe and mental distress.’
LaRocca Inspections did point out problems with the roof following an analysis of the house while the purchase was going through. But it allegedly didn’t ‘disclose the true issues’ regarding water leaks in the property or ‘prior, significant damage… due to mold and fungus’.
The company also discovered moisture damage on the outside front of the house and cracking in the exterior stucco ‘which were not properly revealed to Berardi’.
It’s claimed the cracked stucco is due to a previous problem with construction and the Ersoffs ‘patched cracks… to hide defects from Berardi’.
The sellers knew of problems with the roof, decks, patios, drainage, sewage, workmanship, plumbing, electrical systems fixtures and other issues but never ‘properly disclosed’ them to the buyer, it is alleged.
Coldwell Banker Realty was the broker for the buyer, who put down $1,853,000 deposit and financed the rest with a $2.9million loan.
Berardi is demanding a jury trial and damages, plus punitive damages from Oppenheim and the Ersoffs.
Berardi’s attorney Eric Strongin told DailyMail.com: ‘When you buy a home from someone, and especially when there are licensed and reputable brokers involved, you expect full disclosure of any major issues with the home. In fact, California law requires it.
‘In this case, one example of the evidence we have thus far suggests that a large bowl was deliberately concealed within the ceiling of the home to catch water that would leak into the ceiling from a deck above. Someone obviously knew the decks leaked and went to great lengths to avoid fixing the problem and concealed it before selling the home to Mr. Berardi.’
Berardi accuses Oppenheim and seller Brett Ersoff of covering up the true condition of the 4,668 sq ft home and breaching contractual obligations
Listing photo of Berardi’s home is shown. Oppenheim founded his real estate brokerage with twin brother Brett and the pair come from a realty dynasty started by great-great-grandfather Jacob Stern
The sellers knew of problems with the roof, decks, patios, drainage, sewage, workmanship, plumbing, electrical systems fixtures and other issues but never ‘properly disclosed’ them to the buyer, it is alleged
Californian native Oppenheim founded his real estate brokerage with twin brother Brett and the pair come from a realty dynasty started by great-great-grandfather Jacob Stern.
Selling Sunset follows their agents as they push high-end properties to super-wealthy and celebrity buyers. Its most expensive current listing is a five-bedroom, nine-bathroom estate for nearly $40million – also on Hillside Avenue.
The brokerage is also selling a $30million Spanish-style estate with five bedrooms and nine bathrooms in Coronado, near San Diego, describing it as ‘one of the most sought-after exclusive properties in Southern California’.
But Oppenheim – also starring in spin-off Netflix series Selling the OC, which premiered in 2022 – boasted last week to Fox News that more mega properties will soon be on the books.
‘We have fine listings coming on the market in the next 45 days, all at $30million or above, one north of 100. So we’ve never had so many luxury listings coming on board.
‘I think it’ll make great television, it’ll be great to see if we can sell those. And I think it’s great for the Oppenheim Group. We’re pushing into the luxury market even in this difficult time.’
And he admitted Selling Sunset was a marketing winner, but saying: ‘There’s certainly more buyers and seller that reach out to the brokerage, to myself and to other agents, because of the show. So I think it deserves due credit.
‘I think that is definitely added fuel to the fire in terms of our growth trajectory.’