We had a similar case here in Florida a few years back in the county next to ours, although with a slightly different twist.
A plot of wooded land was subdivided into lots for a new subdivision.
A man bought a lot at the end of a cul-de-sac as an investment.
A builder bought a lot next to his to build a house.
The construction crew came and cleared the wrong lot, laid the foundation and began the construction.
The man that owned the lot came and saw the construction going on BUT DID NOT ATTEMPT TO STOP IT.
Instead he let them finish the house, then tried to get ownership through the courts, but the judge slapped that attempt down, making the two parties trade lots.....................
Yep. That was an act of bad faith on his part. Courts take a very dim view of that especially when you then try to seek relief.
There was a similar case I learned about in law school. Same deal with a big plot of land subdivided up into individual plots. Well it turns out the developer was one lot off on the plot map. So years later, every home owner discovered that they did not own their home but instead owned their next door neighbor's house.
Some greedy bastard then realized that his next door neighbor's house was actually a lot more valuable than his so he tried to sue to get it. The judge ruled that no, everybody bought their homes having seen them and the lot they were on or having had them built on the lot they were on so everybody actually owned the house they were in and not their neighbor's...even though technically they should have. He "quieted" title. That was by far the most equitable thing to do and I agree with his ruling.
I hope that the man had sense enough to later explain, "I didn't notice anything suspicious about it back then. I've since had my prescription glasses replaced. Was I obligated to notice anything?"
Regards,