THE WOODLANDS, Texas -- In a community full of loving, caring people, deception is an unfathomable event. However, seven families living in Carlton Woods, Cochran's Crossing, and Sterling Ridge believe they are victims of a "deceptive act" as stated in a lawsuit filed by them.

Seven local families file a lawsuit against The Woodlands Land Development Company

The families allege that their homes were built on a fault line. They also allege that The Woodlands Land Development Company (TWLDC) knew this fault line existed before they developed the neighborhoods and sold the properties to builders. TWLDC denies those allegations.

These families, some The Woodlands residents for decades, claim they have experienced extensive and very expensive repairs to their homes including water main breaks, electrical problems, and cracks in the walls. Believing they have discovered the cause the residents feel their trust betrayed.

"This has caused us years of misery, worry and extreme financial hardship," said resident Dennis Colvin. "We will not allow our grandchildren to spend the night in our home for safety reasons."

This lawsuit is against TWLDC for Violations of the Texas Deceptive Trade Practices Act (“DTPA”), breach of Warranty and negligence that occurred in Montgomery County, Texas.

Of the seven families who claim they are affected by this fault line, six are represented by Gauntt, Earl & Binney, LLP.

"Now that they all know it's the fault that caused these damages, they also have come to the realization that there is nothing they can do to stop the movement, and nothing they can do to avoid further damage to their homes," said Geoffrey Binney, attorney representing the intervenors.

"What's worse, these homes are unsellable in what is otherwise a very strong seller's market. Their most prized possession - and their greatest investment - has no value. "

Although these residents claim experiencing structural and emotional problems throughout the years in their lawsuit, they still love their community and hope TWLDC will do the right thing if their case is proven true.

“I have been a resident of The Woodlands since 1981, and I love raising my kids here. I don’t want to see a great community hurt because of this, and definitely don’t want any more families to go through what my family has gone through," said Luis Nieto.

The seventh family affected was the original plaintiff and a local prominent figure in The Woodlands.

TWLDC denies the residents’ claims. “TWLDC believes that the plaintiffs’ claims are not supported by the facts, and we fully expect a favorable outcome in the lawsuit. Through diligence, hard work, and well thought-out planning, TWLDC has helped make The Woodlands one of the best places in the U.S. to live,” said Elaine Howard, attorney for TWLDC.