Real Estate Industry News

Actress Rachel Bloom and her husband, writer-producer Dan Gregor, have filed a lawsuit against various corporate entities allegedly tied to former USC football players Matt Leinart and Brandon Hance, accusing the shell companies of operating a fraudulent home-flipping operation.

Bloom, known for her role on the comedy-drama show “Crazy Ex-Girlfriend,” and Gregor, who has credits that include the long-running sitcom “How I Met Your Mother,” alleged in the lawsuit filed in L.A. County Superior Court on Monday that they are among those duped by real estate investor Raul Menjivar.

The lawsuit, filed by attorney Devin McRae, alleges Menjivar is using “fly-by-night entities” to run a property-flipping business to conduct substandard remodeling work on older residences as well as deliberately concealing defects and failing to disclose said defects to potential buyers. Leinart and Hance are named in the lawsuit as associates of Menjivar.

Bloom and Gregor purchased their home in Central L.A. from Menjivar’s company, the Run Group, in 2015 for $1.275 million, records show. In 2018, the couple discovered defects after investigating a number of leaking windows, according to the complaint, including “severe rot” that had been concealed with new drywall as well as a load-bearing wall that had become “completely compromised” as a result of the Run Group’s work, according to the lawsuit.

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Earthquake retrofitting done by the Run Group was deemed “completely inadequate and essentially cosmetic,” according to the complaint, as was the foundational work at the front of the house, which has begun “cracking and chipping away.”

Bloom and Gregor attempted to mediate the dispute before seeking litigation, the lawsuit said. They are seeking compensatory damages of $500,000 or more, plus punitive damages.

The Run Group has since been replaced with real estate investment company Avenue Homes, according to a website for the latter company. Hance is listed on the website as co-founder and chief executive of Avenue Homes, while Leinart is listed as a partner. Menjivar is also a co-founder and serves as vice president of investments.

A message left for Menjivar was not returned.