Colorado bill would impact certain construction defect claims

Single-family homeowners in Colorado may have less time to file a lawsuit against home builders for faulty work if the House passes a proposed bill that has already been approved by the state senate. 

The proposed bill, SB91, would give homeowners five years, instead of six under current law, to pursue legal action against builders for faulty or defective construction on their home. 

New homes that have leaky windows, compromised foundations or cracked walls would have a “statute of repose” for five years under the proposed bill. If a defect is found during the fifth year, homeowners do have one addition year to file a claim against the builder. 

The bill has led to a debate between lawmakers in Colorado. Supporters of the bill say that the state’s current law creates an “excess burden on builders” when damage to a home may be caused by natural wear and tear or due to “acts of God.” They claim that reducing the legal statute to five years instead of six will help builders not face legal action for issues they have no control over.

However, opponents of the bill include many lawmakers who claim the proposed bill would make it harder for homeowners to seek legal action and get compensation for construction defects in their homes. 

The laws regarding construction defects and the legal rights of homeowners have become a serious issue in Colorado. Homeowners and builders should both be aware of this bill because it could have significant impact on the legal ramifications of construction defect claims in the future.

Source: The Denver Post, “Colorado Senate passes bill reducing time to file defects claim,” John Aguilar, April 9, 2015

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