{"id":1338,"date":"2013-02-18T08:18:17","date_gmt":"2013-02-18T15:18:17","guid":{"rendered":"https:\/\/www.myconstructionexpert.com\/blog\/?p=1338"},"modified":"2013-02-14T15:18:34","modified_gmt":"2013-02-14T22:18:34","slug":"construction-defect-litigation-the-claims","status":"publish","type":"post","link":"https:\/\/www.myconstructionexpert.com\/blog\/construction-defect-litigation-the-claims\/","title":{"rendered":"Construction Defect Litigation: The Claims"},"content":{"rendered":"

Wally Zimolong – January 28, 2013<\/p>\n

An unfortunate side-effect from the mid-2000\u2019s construction boom is claims regarding faulty workmanship and defective construction.\u00a0 Because defective construction work is often latent, it may take years before the damage the defect is causing becomes apparent.\u00a0 Therefore, defects for homes built several years ago are just becoming apparently and the cost to remedy these defects is often significant.\u00a0 When defects do become apparent, what causes are available for the property owner?<\/p>\n

1.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 Breach of Contract<\/p>\n

Any analysis of a construct defect case should always begin with a review of the relevant contract documents.\u00a0 In a commercial setting, the property owner should review its construction contract with the contractor, who constructed the property.\u00a0 In a residential setting, while there may be a construction contract between the parties, more often it is an agreement of sale for the property that governs the relationship between the parties.\u00a0 The contract may contain an express warranty regarding the work that was performed requiring repairs to defective work to be made.\u00a0 On more complex projects, the contract may include specifications and drawings that set out in detail what the contractor is required to build.\u00a0 On the other hand (as will be discussed in a future post) the contract may contain exculpatory language releasing the contractor from certain liability.\u00a0 Therefore, it is important to review the contract documents to determine the respective obligations of the owner and the contractor.<\/p>\n

2.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 Breach of Statutory Warranty<\/p>\n

Most States have a statute governing the creating, construction, and sale of condominiums and other shared ownership communities.\u00a0 These statutes usual contain some form of statutory warranty concerning the work performed by the developer of the condominium.\u00a0 For example, under the Pennsylvania Uniform Condominium Act, which is modeled on the Uniform Condominium Act, the condominium developer (declarant) expressly warranties against structural defects in each of the unit and all of the common elements for two years from the date each is conveyed.<\/p>\n

3.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 Breach of Implied Warranty<\/p>\n

In additional to any express warranties, many states recognize an implied warranty of habitability and good workmanship\u00a0 The implied warranty is given not only by the developer but also the general contractor that constructed the project.\u00a0 Under the implied warranty habitability and workmanship, builder-vendors impliedly warrant that a newly constructed home is constructed in a reasonably workmanlike manner and fit for habitation as a residential dwelling.\u00a0 Examples of a builder-vendors breach of the implied warranty include failing to construct a water tight home, failing to construct a home with potable water supply; failing to install adequately sized furnaces in a condominium; failing to construct a water-tight basement, failing to install a crawl space drainage system, and constructing a home with a cracked foundation.<\/p>\n

4.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 Consumer Fraud<\/p>\n

Most States also have some form of consumer protection law.\u00a0 Almost all of the states that have these laws make them applicable to real estate transactions.\u00a0 Most consumer protection statutes allow for the award of attorneys fees to the plaintiff and a doubling or tripling (trebling) of damages to the plaintiff.\u00a0 (Both Pennsylvania and New Jersey allow for treble damages.)\u00a0 While some states require a showing of common law fraud before liability under the consumer protection statute will be found, states like New Jersey and Pennsylvania apply a lower threshold and require only a showing of a technical violation of the statute or \u201cdeceptive conduction\u201d before liability will attach.<\/p>\n

5.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 Negligent Misrepresentation<\/p>\n

The developer and contractor are not the only parties potentially liable for construction defects.\u00a0 Architects and engineers have exposure for liability for faulty designs.\u00a0 Furthermore, architects and engineers should be aware that if their plans and drawings are to be shared with third parties they could be liable under the tort of negligently supplied information.\u00a0 Under this theory, those, like architects and engineers, who in the regular course of their business supply information to third parties are liable if they failed to exercise reasonable care in supplying the information relied upon.\u00a0 Therefore, if architectural plans and drawings are included in a developer\u2019s sales material, which a buyer relies upon in purchasing the property, the architect may be liable to the purchaser if the information contained in the drawings is incorrect.\u00a0 Under this same theory, an owner can also bring a claim against an architect hired by the general contractor for defective plans and specifications notwithstanding the lack of contractual privity.<\/p>\n

Depending on the facts of the case, other claims that may be brought in a construction defect case include common law fraud, intentional misrepresentation, negligence, and an action to pierce the corporate veil.<\/p>\n

via Construction Defect Attorney, Construction Defect Lawyer, Philadelphia<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"

Wally Zimolong – January 28, 2013 An unfortunate side-effect from the mid-2000\u2019s construction boom is claims regarding faulty workmanship and defective construction.\u00a0 Because defective construction work is often latent, it may take years before the damage the defect is causing becomes apparent.\u00a0 Therefore, defects for homes built several years ago are just becoming apparently and… Continue reading Construction Defect Litigation: The Claims<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","enabled":false},"version":2}},"categories":[14,4,172,3],"tags":[229,19,3],"class_list":["post-1338","post","type-post","status-publish","format-standard","hentry","category-construction-2","category-construction-defects","category-construction-law-2","category-insurance-claims","tag-construction-defect-litigation","tag-construction-defects-2","tag-insurance-claims","entry"],"jetpack_publicize_connections":[],"yoast_head":"\nConstruction Defect Litigation: The Claims - 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