According to legal documents, the plaintiffs in the case, Charles and Camille Ardito claimed that the couple purchased two homes in Englewood, New Jersey after Josephs allegedly promised that one of the properties “could be quickly flipped for a profit.”
“The agreement called [the Arditos] to provide $400,000 for the purchase of the properties. [The Arditos] eventually provided $440,000 to be used by [Margaret and Joe]," court papers stated.
The suit alleged that Josephs and Benigno “falsely represented that there were no judgments against them” when applying for the mortgage loans."
“In fact, between the two of them, Defendants had judgments entered against them totaling over $330,000 that would constitute liens on the Properties, if docketed, and they soon were after the closing," the legal documents detailed. “The Defendants did not make the mortgage payments required in connection with the loans."
"Defendants defaulted on the [first property] by failing to make payments due and owing on July 1, 2017," the papers stated. "They defaulted on the [second property] by failing to make the payment due and owing on September 1, 2017." The plaintiffs then claimed that they “were unaware that the Foreclosure Action had been filed” and were not told by the couple.
This is not the Bravo star's first complicated legal matter with the same people. In 2019, the Arditos sued Josephs and Benigno for Breach of Contract, Breach of the Covenant of Good Faith and Fair Dealing, Fraud, Unjust Enrichment and Equitable Lien/Mortgage. The suit was settled in April 2021 for a reported $280,000.
The New Jersey residents allegedly completed the first payment and two installment payments. However, for the January 14, 2022 payment, they only paid them $5,000 out of the $35,000 due.
The Arditos are currently suing for $180,000 because that is the remaining amount for the settlement.