CEO of OpenAI, Sam Altman, filed a lawsuit against Troon Pacific for $4M over undisclosed construction defects in his $27M San Francisco mansion.
Defects include a faulty waterproofing system for the infinity pool causing raw sewage and financial losses of $4M.
Previous allegations against Troon Pacific for shoddy workmanship and fraud in home sales resulting in $50M payback order.
Troon Pacific allegedly aware of issues but failed to disclose, also accused of sabotage due to unpaid fees.
In July 2024, Sam Altman, the CEO of OpenAI, filed a lawsuit against Troon Pacific over construction defects in his newly purchased $27 million mansion located at 950 Lombard St. in San Francisco. The lawsuit alleges that Troon Pacific misrepresented the condition of the property and was aware of pervasive and significant defects but failed to disclose them to Altman.
The construction issues include a faulty waterproofing system for the infinity pool, which led to widespread problems such as raw sewage being dumped on the property, numerous leaking irrigation lines, and a crushed sewer pipe that caused back-up and spillage. The lawsuit also claims that contractors retaliated with a campaign of sabotage due to unpaid fees.
Altman reportedly suffered financial losses totaling $4 million to repair the damages caused by the construction flaws. The mansion, which boasts a Batcave-like garage and views of Alcatraz Island, has been featured in multiple news and magazine articles.
This is not the first time Troon Pacific has faced allegations of shoddy workmanship and fraud in home sales. In May 2024, the company was ordered to pay back $50 million to investors who funded a home renovation project that was never finished, while Troon Pacific allegedly pocketed millions.
Billionaire Sam Altman filed a lawsuit against the developers of his $27 million San Francisco mansion for collusion and shoddy construction.
'Plaintiffs claim developers hired unqualified construction managers, designers, and contractors and failed to pay them on time.'
The property's faulty waterproofing system, widespread defective construction, poor irrigation, drainage systems and plumbing have led to raw sewage being dumped in a hard to access area alongside the house.
Contractors retaliated with a 'campaign of sabotage'
Accuracy
The lawsuit was filed by 950 Lombard LLC, a limited liability company tied to Altman.
Plaintiffs claim developers hired unqualified construction managers, designers, and contractors and failed to pay them on time.
Contractors retaliated with a ‘campaign of sabotage'
The property’s faulty waterproofing system, widespread defective construction, poor irrigation, drainage systems and plumbing have led to raw sewage being dumped in a hard to access area alongside the house.
An unconnected bathroom sewer line dumped raw sewage on the ground.
Numerous leaking irrigation lines were identified.
Deception
(80%)
The article reports on a lawsuit filed by Sam Altman against the developers of his $27 million mansion in San Francisco. The author provides details about the lawsuit, including allegations of shoddy construction and misrepresentation. While there is no direct deception from the author, there are instances of selective reporting and sensationalism that lower the score. The article focuses on the most expensive home listing in San Francisco history and uses emotive language like 'lemon' to grab readers' attention, which is not necessary for reporting on the lawsuit. Additionally, while the article mentions some specific defects in the property, it does not provide a balanced view of the situation or mention any potential counterarguments from the developers.
among the complaints listed in the suit were the property’s faulty waterproofing system, 'widespread defective construction', and poor irrigation, drainage systems plumbing that have in the past few years led to raw sewage being dumped in a 'hard to access area' alongside the house.
The most expensive home listing in San Francisco history
plaintiffs claim developers and contractors 'conspired together, building upon each other's wrongdoing'
Fallacies
(85%)
The author uses inflammatory rhetoric by referring to the mansion as a 'lemon' multiple times without providing any evidence to support this claim beyond the plaintiff's allegations. This is an appeal to emotion and a form of hyperbole.
Topline Four years after buying the so-called most expensive home listing in San Francisco history, billionaire OpenAI CEO Sam Altman has sued the developers of his $27 million mansion, alleging developers and contractors colluded on a cost-cutting scheme 'plagued by shoddy construction.'
Key Facts The lawsuit was filed in San Francisco County Superior Court by plaintiff 950 Lombard LLC, a limited liability company the San Francisco Standard tied to Altman. ... Plaintiffs claim developers ‘skimped on competent or qualified construction managers, designers, and contractors.’ ... Among the complaints listed in the suit were the property’s faulty waterproofing system, 'widespread defective construction,' and poor irrigation, drainage systems plumbing that have in the past few years led to raw sewage being dumped in a 'hard to access area' alongside the house.
The author refers to the mansion as a 'lemon' multiple times without providing any evidence beyond the plaintiff's allegations.
Sam Altman, CEO of OpenAI, filed a lawsuit against Troon Pacific in San Francisco Superior Court over construction flaws in his $27 million mansion at 950 Lombard St.
The lawsuit alleges that Troon Pacific did not disclose known defects and sold the house to Altman despite being aware of them.
The home, which includes a Batcave-like garage and views of Alcatraz Island, has suffered multiple incidents including raw sewage spills, water leaks, and mold due to construction flaws.
Altman reportedly suffered financial losses totaling $4 million to repair the damages caused by the construction flaws.
Accuracy
The infinity pool at the mansion had a poor waterproofing design and installation leading to water intrusion.
Deception
(100%)
None Found At Time Of
Publication
Fallacies
(95%)
The author's assertions are primarily reporting facts from the lawsuit and do not contain any logical fallacies. However, there is an instance of inflammatory rhetoric when the author describes the house as a 'lemon'. This does not significantly impact the overall score.
the home was misled into buying a $27,000,000 'lemon'
Troon Pacific is accused of misrepresenting the condition of the property when selling it to Altman.
The infinity pool leaked a flood of water into the lower level of the house last August, causing gypsum ceiling failure and widespread mold presence.
An unconnected bathroom sewer line dumped raw sewage on the ground.
Numerous leaking irrigation lines were identified.
Accuracy
No Contradictions at Time
Of
Publication
Deception
(50%)
The article contains selective reporting as the author only reports details that support the allegations made in the lawsuit against Troon Pacific. The author does not provide any context or information about potential issues with the property that were not mentioned in the lawsuit. Additionally, there is emotional manipulation through sensational language used to describe Altman's mansion as a 'lemon' and 'shoddy workmanship.'
The plaintiff also accuses the developer of failing to hire qualified contractors, some of whom allegedly ‘retaliated’ by ‘filling drainage and sewer pipes with contractor bags and debris’ over claims they weren’t paid on time.
Altman isn’t the only person to have taken issue with Troon Pacific’s work. In May, the developer was ordered to pay $50 million back to investors who funded a home renovation project in San Francisco that was never finished, all while the company allegedly pocketed millions.
That’s according to a lawsuit that The San Francisco Standard linked to the OpenAI CEO’s residence, which claims Altman purchased a ‘lemon’ with ‘pervasive shoddy workmanship and corner-cutting.’
That shoddy workmanship has led to the pool leaking a ‘flood of water’ into the home's lower level last August, causing 'the gypsum ceiling in that area to fail' and ‘the widespread presence of mold.’
The $27 million mansion might not be all it’s cracked up to be.
Troon Pacific, a luxury home developer, is facing a new lawsuit accusing the company of failing to disclose significant construction defects in a $27 million home on Russian Hill in San Francisco.
'950 Lombard LLC' claims they were misled and will have to pay $4 million to correct the issues.
The lawsuit alleges that Troon Pacific CEO Gregory Malin was aware of pervasive and significant defects but only disclosed a small fraction of them.
This comes after an arbitrator ordered Troon Pacific to pay back $48.1 million to defrauded investors, ruling that the company had squandered the money through fraudulent self-dealing and negligence.
The lawsuit includes details of specific defects, such as an unconnected bathroom sewer line that dumped raw sewage on the ground and numerous leaking irrigation lines in the rooftop garden.
Accuracy
Troon Pacific is facing a new lawsuit accusing the company of failing to disclose significant construction defects in a $27 million home on Russian Hill in San Francisco.
The buyer of the property, 950 Lombard LLC, claims they were misled and will have to pay $4 million to correct the issues.
The property's faulty waterproofing system, widespread defective construction, poor irrigation, drainage systems and plumbing have led to raw sewage being dumped in a hard to access area alongside the house.
Deception
(30%)
The article contains selective reporting as the author only mentions a few of the defects in the home and implies that all significant issues have been resolved. The author also uses emotional manipulation by describing the home as a '$27 million lemon' and implying that Troon Pacific intentionally misled the buyer.
The author describes the home as a '$27 million lemon'.
The lawsuit says only a small fraction of these defects were disclosed, creating the illusion that all significant issues had been resolved and lulling (the property owner) into a false sense of comfort.
Fallacies
(85%)
The author makes an appeal to authority by mentioning the retired judge's ruling against Troon Pacific in a previous case. This is not a logical fallacy on its own, but it can be misused if the author intends to imply that this ruling automatically makes all of their claims true. No explicit fallacies were found in the text provided.
]The arbitrator ruled Troon Pacific had squandered investors' money through a combination of 'fraudulent self-dealing' and 'wanton dereliction of responsibilities.'[
']Troon Pacific was featured regularly in glossy magazines like Mansion Global and Lux Expose, with fawning coverage that touted Troon Pacific’s ‘high performance homes with cutting-edge form and function dedicated to the health and wellness of our homeowners and our planet.’[
Sam Altman is the current resident of a $27 million mansion located at 950 Lombard St in San Francisco.
The lawsuit filed against Troon Pacific and its CEO Greg Malin alleges that the developer misrepresented that construction defects had been addressed to sell the home more quickly.
Defects in the waterproofing design and installation of the pool led to widespread problems, including a massive flood of the mansion last August.
Improperly installed lines caused raw sewage to be dumped on the property and bags were jammed into a sewer line by an unpaid contractor.
Accuracy
The property features an interior elevator, a private garden with century-old olive trees and an infinity-edge pool with sweeping views of the bay.
Sam Altman purchased the property through his company Apollo Projects and his sister Jennifer Serralta manages it.
Repair costs for the property are expected to exceed $4 million and Troon Pacific has been subject of several lawsuits over claims of shoddy workmanship and fraud in the home sales process.
Deception
(50%)
The article contains several instances of selective reporting and sensationalism. The author focuses on the fact that Sam Altman bought a 'lemon' mansion and the defects in the property, while omitting any information about the builder's responsibility or potential remedies for Altman. The author also uses emotional manipulation by describing the property as a 'Russian Hill estate,' which implies grandeur and luxury, only to later reveal that it is a 'lemon.' Furthermore, the author quotes from Architectural Digest to highlight the amenities of the property before discussing its defects, creating a sensational contrast. Lastly, there is no disclosure of sources in the article.
An Architectural Digest tour of the property showcased some of its notable amenities...
The lawsuit claims that repair costs to the property will exceed $4 million.
/cdn.vox-cdn.com/uploads/chorus_asset/file/25431702/STK201_SAM_ALTMAN_CVIRGINIA_B.jpg)
