Buyers learn of flood problem too late

Is it worth the time to prove sellers hid issue?

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DEAR BENNY: We bought a house (built in 1965) on Dec. 18, 2006. Six days later, heavy rains flooded a storage-room area on the lower level. We called the real estate agent who claimed that the prior owners had no knowledge of any water problems and suggested we call a handyman, who came over and did some work. The room has continued to flood whenever there is a heavy rain. Now that we are very aware of the problem, there is evidence that the prior owners also knew, but did not disclose it.