Corporate Profile Expert Testimony Forensic Architecture General Contracting Civil Engineering Roofing & Waterproofing Building Envelope Contact Us
Condominiums / Mutli-Family Hospitals / Medical Facilities Public Universities Schools / Educational Production Housing Hotels / Hospitality Institutional Projects Custom Homes Commercial Developments High-Rise / Mid-Rise Retail / Regional Malls BHA Project Biographies

Builder Services


 

Bert L. Howe & Associates, Inc. is committed to Resolving The Construction Defect Issues of Today. Accordingly the Builder Services section of our website provides builders, construction, and legal professionals with a number of valuable resources aimed at providing an online reference and professional development resource portal specifically tailored to the needs of builders and construction claims professionals.

Users will find a variety of useful links and content tailored to the professional development and information needs of construction claims professionals, as well as contemporary documentation regarding the state of builders “right to repair laws” or “fix it” decisions and legislation. Please bookmark this page and visit often as we will be updating and further developing the content on this page frequently. If you would like to suggest material and/or topics of interest please click here to make a suggestion or request for information.

Understanding Construction Defect Litigation – State Bar Approved Educational activity for attorneys and construction practice groups.

BHAPEDIA – Pictorial dictionary of construction terminology and assemblies utilized to provide visual explanation of construction components and systems encountered frequently in association with construction defect and claims related litigations.

State by State information decisions and legislation relevant to builders “right to repair laws” or “fix it legislation.”

NAHB – NAHB exists to represent the building industry by serving its members and affiliated state and local builders associations.

Please click here for our Construction Expert Witness Directory

Indiana, Article 27


IC 32-27

    ARTICLE 27. CONSTRUCTION WARRANTIES ON REAL PROPERTY

IC 32-27-1

     Chapter 1. Statutory Home Improvement Warranties

IC 32-27-1-1

Application of chapter

     Sec. 1. (a) This chapter applies only to a home improvement that is made under a home improvement contract.

    (b) This chapter applies only to a home improvement contract entered into after June 30, 1992.

As added by P.L.2-2002, SEC.12.

IC 32-27-1-2

Warranty effective date

     Sec. 2. The warranties defined by this chapter become effective on the warranty date.

As added by P.L.2-2002, SEC.12.

IC 32-27-1-3

"Home" defined

     Sec. 3. (a) As used in this chapter, "home" means an attached or detached single family dwelling.

    (b) The term includes an attached garage.

    (c) The term does not include:

        (1) a driveway;

        (2) a walkway;

        (3) a patio;

        (4) a boundary wall;

        (5) a retaining wall not necessary for the structural stability of the home;

        (6) landscaping;

        (7) a fence;

        (8) an offsite improvement;

        (9) an appurtenant recreational facility; or

        (10) other similar item.

As added by P.L.2-2002, SEC.12.

IC 32-27-1-4

"Home improvement" defined

     Sec. 4. As used in this chapter, "home improvement" means any alteration, repair, or other modification of an existing home.

As added by P.L.2-2002, SEC.12.

IC 32-27-1-5

"Home improvement contract" defined

     Sec. 5. As used in this chapter, "home improvement contract" means a written agreement between a remodeler and an owner to

make a home improvement.

As added by P.L.2-2002, SEC.12.

IC 32-27-1-6

"Load bearing parts of the home" defined

     Sec. 6. As used in this chapter, "load bearing parts of the home" means the following:

        (1) Foundation systems and footings.

        (2) Beams.

        (3) Girders.

        (4) Lintels.

        (5) Columns.

        (6) Walls and partitions.

        (7) Floor systems.

        (8) Roof framing systems.

As added by P.L.2-2002, SEC.12.

IC 32-27-1-7

"Major structural defect" defined

     Sec. 7. As used in this chapter, "major structural defect" means actual physical damage to the load bearing functions of the load bearing parts of the home that:

        (1) were installed, altered, or repaired by the remodeler in the course of remodeling the home; or

        (2) although not installed, altered, or repaired by the remodeler, were directly damaged by the work of the remodeler;

to the extent that the home becomes unsafe, unsanitary, or otherwise unlivable.

As added by P.L.2-2002, SEC.12.

IC 32-27-1-8

"Owner" defined

     Sec. 8. As used in this chapter, "owner" means a person who:

        (1) owns the home; and

        (2) contracts with the remodeler to perform the home improvement work in the home improvement contract.

The term includes any of the owner's successors in title before the expiration of the warranties defined by this chapter.

As added by P.L.2-2002, SEC.12.

IC 32-27-1-9

"Person" defined

     Sec. 9. As used in this chapter, "person" means an individual, a corporation, a limited liability company, a business trust, an estate, a trust, a partnership, an association, a cooperative, or other legal entity.

As added by P.L.2-2002, SEC.12.

IC 32-27-1-10

"Remodeler" defined      Sec. 10. As used in this chapter, "remodeler" means a person who contracts with an owner to alter, repair, or modify the owner's home.

As added by P.L.2-2002, SEC.12.

IC 32-27-1-11

"Warranty date" defined

     Sec. 11. As used in this chapter, "warranty date" means the date by which all home improvements and work under the home improvement contract have been substantially completed so the owner can occupy and use the improvement in the manner contemplated by the home improvement contract.

As added by P.L.2-2002, SEC.12.

IC 32-27-1-12

Warranty coverage; warranties survive legal or equitable title

     Sec. 12. (a) In performing home improvements and in contracting to perform home improvements, a remodeler may warrant to the owner the following:

        (1) During the two (2) year period beginning on the warranty date, the home improvement must be free from defects in workmanship or materials.

        (2) During the two (2) year period beginning on the warranty date, the home improvement must be free from defects caused by faulty installation of:

            (A) new plumbing systems;

            (B) new electrical systems;

            (C) new heating, cooling, and ventilating systems; or

            (D) extended parts of existing systems.

        The warranty does not cover appliances, fixtures, or items of equipment that are installed under the home improvement contract.

        (3) During the four (4) year period beginning on the warranty date, the home improvement must be free from defects caused by faulty workmanship or defective materials in the roof or roof systems of the home improvement.

        (4) During the ten (10) year period beginning on the warranty date, the home improvement and affected load bearing parts of the home must be free from major structural defects.

    (b) The warranties provided in this section survive the passing of legal or equitable title in the home to subsequent persons.

As added by P.L.2-2002, SEC.12.

IC 32-27-1-13

Warranty disclaimers; conditions; acknowledgment; default

     Sec. 13. (a) A remodeler may disclaim all implied warranties only if all of the following conditions are met:

        (1) The warranties defined in this chapter are expressly provided for in the home improvement contract between a remodeler and an owner.

        (2) The performance of the warranty obligations is guaranteed

by an insurance policy in an amount equal to the contract price made under the home improvement contract.

        (3) The remodeler carries completed operations products liability insurance covering the remodeler's liability for reasonably foreseeable consequential damages arising from a defect covered by the warranties provided by the remodeler.

    (b) The disclaimer must be printed in a minimum size of 10 point boldface type setting forth that the warranties defined by this chapter replace the implied warranties that have been disclaimed by the remodeler. The owner must affirmatively acknowledge by complete signature that the owner has read, understands, and voluntarily agrees to the disclaimer.

    (c) The owner must acknowledge the disclaimer of implied warranties by signing, at the time of execution of the home improvement contract, a separate one (1) page notice attached to the home improvement contract that includes the following language:

            "NOTICE OF WAIVER OF IMPLIED WARRANTIES

        I recognize that by accepting the express warranties and the insurance covering those warranties for the periods provided in this home improvement contract, I am giving up the right to any claims for implied warranties, which may be greater than the express warranties. Implied warranties are unwritten warranties relating to the reasonable expectations of a homeowner with regard to the remodeling and home improvement of the homeowner's home, as those reasonable expectations are defined by the courts on a case by case basis.".

    (d) If there is a default of the:

        (1) insurance for the performance of the warranty obligations; or

        (2) completed operations products liability insurance;

the disclaimer by the remodeler is void.

As added by P.L.2-2002, SEC.12.

IC 32-27-1-14

Breach of warranty; award of damages

     Sec. 14. (a) If a remodeler breaches a warranty set forth in section 12 of this chapter, the owner may bring an action against the remodeler for:

        (1) damages arising from the breach; or

        (2) specific performance.

    (b) If damages are awarded for a breach of a warranty set forth in section 12 of this chapter, the award may not be for more than:

        (1) the actual damages that are:

            (A) necessary to effect repair of the defect that is the cause of the breach; or

            (B) the difference between the value of the home without the defect and the home with the defect;

        (2) the reasonably foreseeable consequential damages arising from the defect covered by the warranty; and

        (3) attorney's fees, if those fees are provided for in the written

contract between the parties.

As added by P.L.2-2002, SEC.12.

IC 32-27-1-15

Warranties in addition to contract rights; remedies

     Sec. 15. (a) The warranties defined in this chapter are in addition to any other rights created by contract between the parties.

    (b) The remedies provided in section 14 of this chapter do not limit any remedies available in an action that is not predicated on the breach of an express or implied warranty defined by this chapter.

As added by P.L.2-2002, SEC.12.

IC 32-27-2

     Chapter 2. New Home Construction Warranties

IC 32-27-2-1

Effective date of warranties

     Sec. 1. The warranties defined by this chapter (or IC 34-4-20.5 or IC 32-15-7 before their repeal) become effective on the warranty date attributed to a new home.

As added by P.L.2-2002, SEC.12.

IC 32-27-2-2

"Initial home buyer" defined

     Sec. 2. As used in this chapter, "initial home buyer" means a person who executes a contract with a builder to buy a new home and who:

        (1) occupies the new home as its first occupant; and

        (2) occupies the new home as a residence.

As added by P.L.2-2002, SEC.12.

IC 32-27-2-3

"Major structural defect" defined

     Sec. 3. As used in this chapter, "major structural defect" means actual damage to the load bearing part of a new home, including actual damage due to:

        (1) subsidence;

        (2) expansion; or

        (3) lateral movement;

of the soil affecting the load bearing function, unless the subsidence, expansion, or lateral movement of the soil is caused by flood, earthquake, or some other natural disaster.

As added by P.L.2-2002, SEC.12.

IC 32-27-2-4

"New home" defined

     Sec. 4. (a) As used in this chapter, "new home" means a new dwelling occupied for the first time after construction.

    (b) The term does not include:

        (1) a detached garage;

        (2) a driveway;

        (3) a walkway;

        (4) a patio;

        (5) a boundary wall;

        (6) a retaining wall not necessary for the structural stability of the new home;

        (7) landscaping;

        (8) a fence;

        (9) nonpermanent construction material;

        (10) an off-site improvement;

        (11) an appurtenant recreational facility; or

        (12) other similar item. As added by P.L.2-2002, SEC.12.

IC 32-27-2-5

"Home buyer" defined

     Sec. 5. (a) As used in this chapter, "home buyer" means a purchaser of a new home.

    (b) The term includes any owner of the new home before the expiration of the warranties defined by this chapter.

As added by P.L.2-2002, SEC.12.

IC 32-27-2-6

"Builder" defined

     Sec. 6. As used in this chapter, "builder" means a person who constructs new homes for sale, including the construction of new homes on land owned by home buyers.

As added by P.L.2-2002, SEC.12.

IC 32-27-2-7

"Warranty date" defined

     Sec. 7. As used in this chapter, "warranty date" means the date of the first occupancy of the new home as a residence by one (1) of the following:

        (1) The builder.

        (2) An individual or individuals renting the home from the builder.

        (3) An individual or individuals living in the home at the request of the builder.

        (4) The initial home buyer.

As added by P.L.2-2002, SEC.12. Amended by P.L.165-2005, SEC.9.

IC 32-27-2-8

Warranties of builder; survival of warranties

     Sec. 8. (a) In selling a completed new home, and in contracting to sell a new home to be completed, the builder may warrant to the initial home buyer the following:

        (1) During the two (2) year period beginning on the warranty date, the new home will be free from defects caused by faulty workmanship or defective materials.

        (2) During the two (2) year period beginning on the warranty date, the new home will be free from defects caused by faulty installation of:

            (A) plumbing;

            (B) electrical;

            (C) heating;

            (D) cooling; or

            (E) ventilating;

        systems, exclusive of fixtures, appliances, or items of equipment.

        (3) During the four (4) year period beginning on the warranty date, the new home will be free from defects caused by faulty

workmanship or defective materials in the roof or roof systems of the new home.

        (4) During the ten (10) year period beginning on the warranty date, the new home will be free from major structural defects.

    (b) The warranties provided in this section (or IC 34-4-20.5-8 or IC 32-15-7 before their repeal) survive the passing of legal or equitable title in the new home to a home buyer.

    (c) An individual identified in section 7(1), 7(2), or 7(3) of this chapter who is selling a new home shall notify the purchaser of the home in writing on or before the date of closing or transfer of the new home of:

        (1) the warranty date (as defined in section 7 of this chapter); and

        (2) the amount of time remaining under the warranty.

As added by P.L.2-2002, SEC.12. Amended by P.L.165-2005, SEC.10.

IC 32-27-2-9

Disclaimer of implied warranties

     Sec. 9. (a) A builder may disclaim all implied warranties only if all of the following conditions are met:

        (1) The warranties defined in this chapter are expressly provided for in the written contract between a builder and an initial home buyer of a new home.

        (2) The performance of the warranty obligations is backed by an insurance policy in an amount at least equal to the purchase price of the new home.

        (3) The builder carries completed operations products liability insurance covering the builder's liability for reasonably foreseeable consequential damages arising from a defect covered by the warranties provided by the builder.

    (b) The disclaimer must be printed in a minimum size of 10 point boldface type setting forth that the statutory warranties of this chapter are in lieu of the implied warranties that have been disclaimed by the builder, and the initial home buyer must affirmatively acknowledge by complete signature that the home buyer has read, understands, and voluntarily agrees to the disclaimer. Additionally, the initial home buyer must acknowledge the disclaimer of implied warranties by signing, at the time of execution of the contract, a separate one (1) page notice, attached to the contract, that includes and begins with the following language:

            "NOTICE OF WAIVER OF IMPLIED WARRANTIES

        I recognize that by accepting the express warranties and the insurance covering those warranties for the periods of time provided in this contract, I am giving up the right to any claims for implied warranties, which may be greater than the express warranties. Implied warranties are unwritten warranties relating to the reasonable expectations of a homeowner with regard to the construction of the homeowner's home, as those reasonable expectations are defined by the courts on a case by case basis.".     (c) If there is a default of either:

        (1) the insurance for the performance of the warranty obligations; or

        (2) the completed operations products liability insurance;

the disclaimer by the builder is void from and after the default.

As added by P.L.2-2002, SEC.12.

IC 32-27-2-10

Breach of warranty; actions against builder; damages; attorney's fees

     Sec. 10. (a) If a builder provides and breaches a warranty set forth in section 8 of this chapter (or IC 34-4-20.5-8 or IC 32-15-7-8 before their repeal), the home buyer may bring an action against the builder for:

        (1) damages arising from the breach; or

        (2) specific performance.

    (b) If damages are awarded for a breach of a warranty set forth in section 8 of this chapter (or IC 34-4-20.5-8 or IC 32-15-7-8 before their repeal), the award may be for not more than:

        (1) the actual damages, which are either:

            (A) the amount necessary to effect repair of the defect that is the cause of the breach; or

            (B) the amount of the difference between the value of the new home without the defect and the value of the new home with the defect;

        (2) the reasonably foreseeable consequential damages arising from the defect covered by the warranty; and

        (3) attorney's fees, if those fees are provided for in the written contract between the parties.

As added by P.L.2-2002, SEC.12.

IC 32-27-2-11

Warranties in addition to contract rights; other remedies

     Sec. 11. (a) The warranties set forth in this chapter (or IC 34-4-20.5 or IC 32-15-7 before their repeal) are in addition to any rights created by contract between the parties.

    (b) The remedies provided in section 10 of this chapter (or IC 34-4-20.5-10 or IC 32-15-7-10 before their repeal) do not limit any remedies available in an action that is not predicated upon the breach of an express or implied warranty set forth in this chapter (or IC 34-4-20.5 or IC 32-15-7 before their repeal) or otherwise existing.

As added by P.L.2-2002, SEC.12.

IC 32-27-3

     Chapter 3. Notice and Opportunity to Repair

IC 32-27-3-1

Definitions

     Sec. 1. The following definitions apply throughout this chapter:

        (1) "Action" means any civil lawsuit or action in contract or tort for damages or indemnity brought against a construction professional to assert a claim, whether by complaint, counterclaim, or cross claim, for damage or the loss of use of real or personal property caused by a defect in the construction of a residence or in the substantial remodeling of a residence. "Action" does not include:

            (A) a claim in bankruptcy; or

            (B) any civil action in tort alleging personal injury to or wrongful death of a person or persons resulting from a construction defect.

        (2) "Association" means an association of co-owners (as defined in IC 32-25-2-2).

        (3) "Claimant" means a home owner who or an association that asserts a claim against a construction professional concerning a defect in the construction of a residence or in the substantial remodeling of a residence.

        (4) "Construction professional" means an architect, a builder, a builder vendor, a contractor, a subcontractor, or an engineer, including but not limited to any person performing or furnishing the design, supervision, construction, or observation of the construction of any improvement to real property, whether operating as a sole proprietor, a partnership, a corporation, or another business entity that contracts with the home owner to build the residence. A construction professional is not a home owner under this chapter unless the construction professional occupies the residence that is the basis for the claimed defect.

        (5) "Defect" or "construction defect" means damage or deficiency in the residential construction, design, specifications, surveying, planning, supervision, testing, inspection, or observation of construction.

        (6) "Home owner" means:

            (A) any person, company, firm, partnership, corporation, association, or other business entity that:

                (i) is owner of the residence; and

                (ii) contracts with a construction professional for the construction, sale, or construction and sale of a residence; or

            (B) a subsequent purchaser of a residence from a home owner.

        (7) "Residence" means a:

            (A) single family house;

            (B) duplex;

            (C) triplex;             (D) quadraplex; or

            (E) unit in a multiple unit residential structure in which title to the individual unit is transferred to the owner under a condominium or cooperative system.

        For purposes of clause (E), the term includes common areas and facilities (as defined in IC 32-25-2-4).

        (8) "Serve" or "service" means personal service or delivery by certified mail to the last known address of the addressee.

        (9) "Substantial remodeling" means a remodeling of a residence, the total cost of which exceeds fifty percent (50%) of the assessed value under IC 6-1.1-1-3(a)(2) of the residence at the time that the contract for the remodeling work was made.

As added by P.L.134-2003, SEC.1.

IC 32-27-3-2

Notice of claim; response

     Sec. 2. (a) At least sixty (60) days before filing a construction defect action against a construction professional, the claimant must serve written notice of claim on the construction professional. The notice of claim must state that the claimant asserts a construction defect claim against the construction professional and must describe the claim in reasonable detail sufficient to determine the general nature of the defect.

    (b) Within twenty-one (21) days after service of a notice of claim under subsection (a), the construction professional must serve a written response on the claimant. The written response must do one (1) of the following:

        (1) Propose to inspect the residence that is the subject of the claim and complete the inspection within a specified time frame. A response made under this subdivision must include the statement that the construction professional shall, based on the inspection, offer to remedy the defect, compromise by payment, or dispute the claim.

        (2) Offer to compromise and settle the claim by monetary payment without inspection. A construction professional's offer under this subdivision may include, but is not limited to, an express offer to purchase the claimant's residence that is the subject of the claim and to pay the claimant's reasonable relocation costs.

        (3) State that the construction professional disputes the claim and will neither remedy the construction defect nor compromise and settle the claim.

    (c) If the construction professional terminates a proposal or offer under section 3(c) of this chapter, the claimant may bring an action against the construction professional for the construction defect claim described in the notice of claim.

    (d) A home owner is not required to serve an additional written notice for any additional defects discovered after the home owner has served an initial written notice of a construction defect in accordance with this section. As added by P.L.134-2003, SEC.1.

IC 32-27-3-3

Action for construction defect; notice of rejection; notice to terminate offer or proposal

     Sec. 3. (a) If the construction professional disputes the claim or does not respond to the claimant's notice of claim within the time set forth in section 2(b) of this chapter, the claimant may bring an action against the construction professional for the claim described in the notice of claim without further notice.

    (b) If the construction professional makes:

        (1) a proposal to inspect the residence under section 2(b)(1) of this chapter; or

        (2) an offer to compromise and settle the claim by monetary payment without inspection under section 2(b)(2) of this chapter;

and the claimant rejects the proposal or offer, the claimant must serve written notice of the rejection on the construction professional. After service of the rejection, the claimant may bring an action against the construction professional for the construction defect claim described in the notice of claim.

    (c) If the construction professional does not receive from the claimant either an acceptance or rejection of the construction professional's inspection proposal or settlement offer within sixty (60) days after the claimant's receipt of the construction professional's response, the construction professional may terminate the proposal or offer by serving written notice on the claimant.

    (d) If the construction professional terminates a proposal or offer under subsection (c), the claimant may bring an action against the construction professional for the construction defect claim described in the notice of claim.

As added by P.L.134-2003, SEC.1.

IC 32-27-3-4

Reasonable access for inspection; action for construction defect; notice of rejection; notice to terminate offer or proposal

     Sec. 4. (a) If the construction professional makes a proposal to inspect the residence under section 2(b)(1) of this chapter and the claimant elects to allow the construction professional to inspect in accordance with the construction professional's proposal, the claimant must provide the construction professional and the construction professional's contractors or other agents reasonable access to the claimant's residence during normal working hours to inspect the premises and the claimed defect.

    (b) Within fourteen (14) days after the completion of an inspection pursuant to a proposal under section 2(b)(1) of this chapter, the construction professional must serve on the claimant:

        (1) a written offer to remedy the construction defect at no cost to the claimant, including a report of the scope of the inspection, the findings and results of the inspection, a

description of the additional construction necessary to remedy the defect described in the claim, and a timetable for the completion of such construction;

        (2) a written offer to compromise and settle the claim by monetary payment under section 2(b)(2) of this chapter; or

        (3) a written statement that the construction professional will not proceed further to remedy the defect.

    (c) If the construction professional:

        (1) makes a written offer to remedy the construction defect under subsection (b)(1) but does not proceed further to remedy the construction defect within the agreed timetable; or

        (2) fails to serve a written offer or statement on the claimant under subsection (b);

the claimant may bring an action against the construction professional for the claim described in the notice of claim without further notice.

    (d) If the construction professional makes an offer under subsection (b)(1) or (b)(2) to remedy the construction defect or to compromise and settle the claim by monetary payment and the claimant rejects the offer, the claimant shall serve written notice of the claimant's rejection on the construction professional. After service of the rejection notice, the claimant may bring an action against the construction professional for the construction defect claim described in the notice of claim.

    (e) If the construction professional makes an offer under subsection (b)(1) or (b)(2) and does not receive an acceptance or rejection of the offer from the claimant within sixty (60) days after the claimant's receipt of the construction professional's response, the construction professional may terminate the offer by serving written notice on the claimant.

As added by P.L.134-2003, SEC.1.

IC 32-27-3-5

Notice of acceptance; reasonable access to complete construction; agreement to alter offer

     Sec. 5. (a) To accept the offer of a construction professional to remedy the construction defect under section (4)(b)(1) of this chapter, the claimant must serve on the construction professional a written notice of acceptance within a reasonable time period after receipt of the offer, and not later than sixty (60) days after receipt of the offer.

    (b) A claimant who accepts a construction professional's offer under section 4(b)(1) of this chapter must provide the construction professional and the construction professional's contractors or other agents reasonable access to the claimant's residence during normal working hours to perform and complete the construction by the timetable stated in the offer.

    (c) After the acceptance of an offer under section 4(b)(1) of this chapter, the claimant and construction professional may, by written mutual agreement, alter the extent of construction or the timetable

for completion of construction stated in the offer, including but not limited to construction to repair additional defects.

As added by P.L.134-2003, SEC.1.

IC 32-27-3-6

Dismissal

     Sec. 6. Any action commenced by a claimant before compliance with the requirements of this chapter is subject to dismissal without prejudice, and may not be recommenced until the claimant complies with the requirements of this section.

As added by P.L.134-2003, SEC.1.

IC 32-27-3-7

Commence action for construction defect

     Sec. 7. Nothing in this section may be construed to prevent a claimant from commencing an action on the construction defect claim described in the notice of claim if the construction professional fails to perform the construction agreed upon, fails to remedy the defect, or fails to perform according to the timetable agreed upon under section 4(b)(1) or 5 of this chapter.

As added by P.L.134-2003, SEC.1.

IC 32-27-3-8

Amend notice of claim; date of original notice of claim applies

     Sec. 8. (a) Before commencing any action alleging a construction defect, or after the dismissal of any action without prejudice under section 6 of this chapter, the claimant may amend the notice of claim to include construction defects discovered after the service of the original notice of claim.

    (b) The service of an amended notice of claim relates back to the original notice of claim for purposes of section 2 of this chapter and the applicable statutes of limitations and repose.

As added by P.L.134-2003, SEC.1.

IC 32-27-3-9

Attorney's fees and costs to construction professional; deduction of sums paid under warranty; failure to comply

     Sec. 9. (a) If a claimant:

        (1) unreasonably rejects a reasonable written offer of settlement made under this chapter; or

        (2) does not permit the construction professional a reasonable opportunity to inspect or to repair the defect under a reasonable offer of settlement;

and thereafter commences an action governed by this chapter, the court may deny the claimant attorney's fees and costs and award attorney's fees and costs to the construction professional. However, a homeowner is not required to accept an offer to repair the defect when the defect is caused by the construction professional's noncompliance with applicable building codes.

    (b) Any sums paid under a homeowners warranty, other than sums

paid in satisfaction of claims that are collateral to any coverage issued to or by the construction professional, must be deducted from any recovery.

    (c) If a construction professional fails to comply with the requirements of this chapter, the claimant is not obligated to comply further with the provisions of this chapter.

As added by P.L.134-2003, SEC.1.

IC 32-27-3-10

Attorney's fees and costs to claimant

     Sec. 10. If a construction professional unreasonably:

        (1) disputes a home owner's claim;

        (2) fails to remedy or compromise and settle the claim;

        (3) fails to repair the construction defect within a reasonable time, subject to the nature of the repair or some unforeseen event not caused by the construction professional; or

        (4) fails to respond to a notice;

and the claimant commences an action governed by this chapter and prevails in the action, the court may award attorney's fees and costs to the claimant.

As added by P.L.134-2003, SEC.1.

IC 32-27-3-11

Filing; list of defects

     Sec. 11. (a) In every action brought against a construction professional, the claimant must file with the court and serve on the defendant a list of known construction defects in accordance with this section.

    (b) The list of known construction defects must contain a description of the construction that the claimant alleges to be defective. The list of known construction defects must be filed with the court and served on the defendant within sixty (60) days after the commencement of the action or within such longer period as the court in its discretion may allow.

    (c) The list of known construction defects may be amended by the claimant to identify additional construction defects as they become known to the claimant.

    (d) The list of known construction defects must specify, to the extent known to the claimant, the construction professional responsible for each alleged defect identified by the claimant.

    (e) If a subcontractor or supplier is added as a party to an action under this section, the party making the claim against the subcontractor or supplier must serve on the subcontractor or supplier the list of construction defects in accordance with this section within sixty (60) days after service of the complaint against the subcontractor or supplier, or within such period as the court in its discretion may allow.

As added by P.L.134-2003, SEC.1.

IC 32-27-3-12 Notice of right to offer to cure; action not barred

     Sec. 12. (a) Upon entering into a contract for sale, construction, or substantial remodeling of a residence, a construction professional must provide notice to each home owner of the construction professional's right to offer to cure construction defects before a home owner may commence litigation against the construction professional. The notice must be conspicuous and may be included as part of the underlying contract signed by the home owner.

    (b) The notice required by this section must be in substantially the following form:

        "IC 32-27-3 CONTAINS IMPORTANT REQUIREMENTS YOU MUST FOLLOW BEFORE YOU MAY FILE A LAWSUIT FOR DEFECTIVE CONSTRUCTION AGAINST THE CONTRACTOR OR BUILDER OF YOUR HOME. SIXTY (60) DAYS BEFORE YOU FILE YOUR LAWSUIT, YOU MUST DELIVER TO THE CONTRACTOR OR BUILDER A WRITTEN NOTICE OF ANY CONSTRUCTION CONDITIONS YOU ALLEGE ARE DEFECTIVE AND PROVIDE YOUR CONTRACTOR OR BUILDER THE OPPORTUNITY TO MAKE AN OFFER TO REPAIR OR PAY FOR THE DEFECTS. YOU ARE NOT OBLIGATED TO ACCEPT ANY OFFER MADE BY THE BUILDER OR CONTRACTOR. HOWEVER, IF YOU UNREASONABLY REJECT A REASONABLE WRITTEN OFFER AND COMMENCE AN ACTION AGAINST THE BUILDER OR CONTRACTOR, A COURT MAY AWARD ATTORNEY'S FEES AND COSTS TO THE BUILDER OR CONTRACTOR. THERE ARE STRICT DEADLINES AND PROCEDURES UNDER STATE LAW, AND FAILURE TO FOLLOW THEM MAY AFFECT YOUR ABILITY TO FILE A LAWSUIT.".

    (c) This chapter does not preclude or bar any action if notice is not given to the home owner as required by this section.

As added by P.L.134-2003, SEC.1.

IC 32-27-3-13

Contractual relationship not affected

     Sec. 13. Nothing in this chapter shall be construed to hinder or otherwise affect the employment, agency, or contractual relationship between and among home owners and construction professionals during the process of construction or remodeling and does not preclude the termination of those relationships as allowed under current law. Nothing in this chapter shall negate or otherwise restrict a construction professional's right to access or inspection provided by law, covenant, easement, or contract.

As added by P.L.134-2003, SEC.1.

IC 32-27-3-14

Tolling of statute of limitations

     Sec. 14. If a written notice of claim is served under section 2 of this chapter within the time prescribed for the filing of an action

against a construction professional based on an alleged construction defect, the applicable statute of limitations for construction related claims is tolled with respect to the alleged construction defect described in the notice of claim from the day on which the notice of claim is served until sixty (60) days after the period of time during which the filing of an action is barred under this chapter.

As added by P.L.134-2003, SEC.1.

 

 

Corporate Profile | Arrange Consultation | Construction Delay Claims | Construction Attorney Resources | Seminars | Construction Change Order Analysis | Construction Accident Claims | Injury Claims | Construction Terminology Dictionary | Builder Services | Forensic Architecture | General Contracting | Civil Engineering | Roofing & Waterproofing | Building Envelope | Project Overviews | Construction Expert Witness | Expert Witness Directory | Construction Experts | Forensic Engineer | Safety Engineering | OSHA Expert Witness | Electrical Expert Witness | Civil Engineering | Civil Engineers | Mechanical Engineer | Structural Engineers | Consulting Engineers | Construction Safety | OSHA Construction | Construction Regulations | Forensic Engineering | Roofing Consultants | Roofing Expert Witness | Building Expert Witness | Project Experience | Building Experts | Commercial Buildings | Concrete | Condominiums | Custom Homes | Developer | EIFS | Framing | General Contracting | High Rise / Mid Rise | Hotels / Hospitality | Plumbing / HVAC | Institutional Projects | Hospitals / Medical Facilities | Stucco, Lath & Plastering | Production Homes | Public Universities | Retail | Schools | Sheet Metal Construction | BHApedia | Contact Us | Copyright Notice | Terms of Use

Copyright 2008 Bert L. Howe & Associates, Inc.