It is important for homeowners to understand the limitations related to the Texas Residential Construction Liability Act. 004(h) on the types of damages recoverable by a homeowner and the limitation of subsection 27. Reasonable Opportunity Analysis. One of the most challenging things about construction defect claims is navigating the filing deadlines. If your loss occurred in Texas, and you wish to seek recovery, you will be subject to a little known but highly complicated law known as the Texas Residential Construction Liability Act ("RCLA"). Houston Construction Defect Lawyer | Structural Defects. If you're like most Texans, you dream of one day owning a custom-built home. Under the Texas Residential Construction Liability Act (RCLA), home builders can be held legally liable for damage caused by shoddy workmanship or construction defects.
The RCLA is designed to promote settlement disputes between the homeowner and construction business owner. The claim is eventually resolved, your insured's house is repaired, your insured is happy, and your insured is now a lifelong customer. No one ever said that building a new home would be easy, and unfortunately, things can go wrong. Texas residential construction law. Prior to filing a lawsuit, a homeowner must make the contractor aware of their intent to file 60 days before, and must include descriptions related to all the known defects. The RCLA was intended to reduce the volume of residential construction defect litigation by encouraging homeowners and contractors to discuss and resolve construction defect claims before a lawsuit or arbitration is initiated. In that case, you'll need to provide pictures or other proof of the residential construction defect and what you need to remedy the problem.
As such, the offer of repair and settlement is a critically important issue for homeowners and contractors alike, and should be handled with care. In addition, the record shows that the Saidis timely filed a response to the plea along with controverting affidavits, thus circumventing an automatic abatement. Check your email inbox for the download link! Texas Breach of Contract: What If New Home Construction Goes Wrong. The RCLA can also hold homeowners accountable for filing frivolous suits against contractors, holding them responsible for attorney's fees and court costs in such cases.
Do not shred it and think "oh, the homeowner is crazy, this will all go away by itself. " A contractor is defined under this law as a builder contracting with an owner for the repair or alteration of an addition to an existing residence and includes the owner, partners or employees of the contractors. This is a breach of construction contract case. Texas residential construction law manual. In four issues F & S now appeals the trial court's failure to grant its plea in abatement, as well as the judgment of the trial court. The RCLA applies to any action that seeks to recover damages from construction defects, but does not apply to actions regarding wrongful death, survival, damage to non-residential goods, or personal injury.
Normal/seasonal shrinkage due to drying or settlement. By law, you must give the contractor a reasonable opportunity to inspect the property. Construction Defects. Once the offer is made and received, the claimant will have 25 days to accept or reject the offer. Also, you can call us at 713-572-4900. The price of the project. The first time it rains, you end up with a leaky roof, damaged walls, water on your floors, and your belongings require cleaning or replacement. If you find yourself in a dispute with your builder, there is a specific process that you'll need to follow.
2 The Saidis filed an answer, motion for partial declaratory judgment, and counterclaim on December 28, 1998. Gen. Laws 1703 (expired Sept. 1, 2009). Help with construction claims. The RCLA has several key definitions that homeowners should be aware of before filing suit. The RCLA is a double-edged sword that if used correctly can help contractors limit or remove liability for construction defects, or if ignored, can cause the contractor to incur substantial economic damages. According to Texas Property Code: A construction defect is a matter concerning the design, construction, or repair of a new residence, of an alteration of or repair or addition to an existing residence, or of an appurtenance to a residence, on which a person has a complaint against a contractor. Despite its complexity, the RCLA has one simple purpose: to help protect Texas residents who build or renovate their homes. Texas residential construction liability. What to Consider When Planning Residential Construction. For claims related to product liability or negligence, the time limitation is two years. Specifically, the plea in abatement alleged that the Saidis did not a) specify each construction defect in reasonable detail in their counter claim or b) give F & S reasonable opportunity to inspect the property. Your Contractor May Offer You a Settlement.
First, if you plan on suing your contractor or builder, you'll need an experienced real estate attorney who can guide you through the process and help you understand your options. Within 45 days of receiving the initial notice to file suit, the contractor may make a written offer to the homeowner, which may include repairs, cash settlement in lieu of repairs, or both. The act applies to new home construction, as well as additions, remodeling and landscaping projects. If you are a homeowner concerned about a potential construction defect, or a contractor threatened with litigation concerning a construction defect, you should consult a construction litigation attorney immediately. A failure to follow these requirements can result in a dismissal of claims. F & S's suit also requested prejudgment and postjudgment interest, attorneys' fees, a judgment regarding the existence of its mechanic's and materialman's lien on the property, an order foreclosing on the lien, an order of sale and writ of possession, and any additional costs of court. If you have any questions, please contact us today. If you've tried the above methods for resolving a construction dispute and are still unsatisfied, you may need to take more drastic measures. All information provided on (hereinafter "website") is provided for informational purposes only, and is not intended to be used for legal advice. F & S correctly contends this is a case of first impression because no other Texas case has directly dealt with the RCLA notice requirement in the context of a counterclaim. The notice must specify in reasonable detail the construction defects that are the subject of the complaint.
It's essential to have a lawyer review your contract before you sign it. All relevant parties are placed on notice and joint scene inspections proceed forward. Following the trial, the jury found in favor of the Saidis, awarding them over $170, 000 in damages, attorneys' fees, and interest. Let us help get your project back on track today. They are not liable for settling or shrinkage of the residence within normal building standards. Whether you are a homeowner or a contractor, Chapter 27 of the Texas Property Code, also known as the Residential Construction Liability Act ("RCLA"), applies to you if there is a dispute regarding alleged construction defects at your home or the home you built/performed construction work.
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