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Soil-Structure Interaction Seminar - Foundation Performance ...

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July 21, 1994<br />

Page7<br />

1. Homeowner provides written notice of the construction<br />

defect in reasonable detail, by certified mail, return receipt<br />

requested at least 60 days before filing suit.<br />

2. Inspection: contractor, upon written request, must be<br />

given opportunity to inspect within 35 days after receiving<br />

the notice.<br />

3. Offer: contractor may make written offer to repair or pay<br />

money within 45 days after receiving notice.<br />

4. If homeowner accepts offer, repairs must be completed<br />

within 45 days (unless delayed by the claimant or events<br />

beyond the contractor's control).<br />

5. If claimant unreasonably rejects offer or doesn't permit<br />

contractor reasonable opportunity to repair, claimant may<br />

not recover an amount in excess of the reasonable cost of<br />

repairs which are necessary to cure the construction defect<br />

and may only recover the amount of reasonable and<br />

necessary attorney's fees and costs incurred before the<br />

offer was rejected.<br />

6. If a contractor fails to make a reasonable offer, or fails to<br />

make a reasonable attempt to complete the repairs, or fails<br />

to complete the repairs in a good and workmanlike<br />

manner, the limitations on damages and defenses to<br />

liability do not apply.<br />

7. If procedures followed, claimant may only recover the<br />

following damages<br />

a) reasonable cost of repairs necessary to cure any<br />

construction defect that the contractor failed to cure;<br />

b) reasonable expenses of temporary housing<br />

necessitated by the repairs;<br />

c) reduction in market value of the residence, if any,<br />

due to structural failure; and<br />

d) reasonable and necessary attorneys' fees.<br />

8. Damages may not exceed the claimant's purchase price for<br />

the residence.

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