Sue builder breach of contract

Since 1979, Arizona courts have recognized an implied warranty of workmanship and habitability (“Implied Warranty”) regarding new home construction. Although a contractual relationship (“privity”) is generally required to bring a claim for breach of the Implied Warranty, since the doctrine was first recognized, the Arizona Supreme Court has created two exceptions.The first exception allows a subsequent home purchaser to bring an Implied Warranty claim against a builder-vendor, because latent defects in a home are equally devastating to original and subsequent purchasers, and the builder-vendor, being in the better position to prevent major problems, should bear the costs of poor workmanship. More than two decades later, the Supreme Court created an additional privity exception, allowing Implied Warranty claims against a non-vendor builder. In that instance, the court reasoned that “innocent buyers of defectively constructed homes should not be denied … [Read more...] about Homeowners in Arizona Cannot Assert Claims Against Subcontractors for Breach of Implied Warranty

When Shaw Development forged a deal with Southern Builders to construct the “Captain’s Gallery” in Somerset County, Md., the contractor alleg­edly promised the developer that the new luxury condo project would be environmentally friendly.But when the U.S. Green Building Council didn’t issue the hoped-for certification, Shaw claimed it lost $635,000 in tax credits.The result: one of the first reported lawsuits in the country alleging that a builder failed to meet environmental standards set by the U.S. Green Building Coun­cil, a Washington, D.C.-based nonprofit that creates green building standards and certifies environmentally sustainable structures.In February 2007, Shaw sued Southern Builders in a Maryland court. The case included the charge that Southern breached its contractual obligations by failing to obtain a silver certification by the USGBC’s Leader­ship in Energy and Environmental Design program.While the case was quickly settled, … [Read more...] about Green Grow the Lawsuits

As billionaire Donald Trump flirts with a run for the White House, his lengthy history of filing lawsuits — often to protect his image or gain a financial edge — is making conservatives wary of excessive litigation wince.The real estate tycoon has been a party (as defendant or plaintiff) in about 100 federal lawsuits, according to a review of a legal database. Moreover, five of Trump’s major companies have been embroiled in over 200 civil suits in federal courts, according to court records.A few examples:Trump has filed lawsuits against Palm Beach County, Fla., where he owns a palatial home and private club, called Mar-a-Lago, seeking to block a new runway at a local airport because it could increase the noise levels near his property.He has sued his former New York law firm, Morrison Cohen, for citing him as an ex-client on its website and treating him like a “cash cow.”Trump sued former New York Times  journalist Tim O’Brien and his publisher … [Read more...] about Donald Trump’s Lawsuits Could Turn Off Conservatives Who Embrace Tort Reform

The implied warranty of habitability (“IWOH”) originally extended to “builder/vendors” in Illinois. However, as a new Illinois appellate court decision makes clear, the IWOH now extends to claims against general contractors who are not in privity of contract with the homeowner. In addition, the decision confirms that subcontractors have exposure to direct claims from homeowners under the IWOH if the general contractor is insolvent. 1324 W. Pratt Condominium Association v. Platt Construction Group, Inc., 2012 WL 2369561 (Ill. App. 1st Dist. June 21, 2012). This decision demonstrates that general contractors and subcontractors in Illinois face significant risk of direct IWOH claims for latent construction defect claims. While the developer/seller is often protected from this liability through disclaimers in the sales contract (which are enforceable under Illinois law), the general contractor and its subcontractors often do not have this protection because … [Read more...] about Illinois Appellate Court Clarifies the Implied Warranty of Habitability as it Applies to General Contractors and Subcontractors

Since the 1970s, courts in nearly all 50 states have recognized the implied warranty of habitability, (IWOH), which is based on the underlying public policy designed to "protect purchasers of new houses upon discovery of latent defects in their homes." In Illinois, the implied warranty was first recognized in the landlord-tenant context in Jack Spring, Inv. v. Little by requiring landlords to keep their property "habitable.", As courts have sought to further protect consumers, the warranty has expanded to include the protection of purchasers of new homes sold by a builder-vendor, as well as subsequent purchasers of existing homes. A recent First District Illinois Appellate Court decision extended IWOH claims against developers and subcontractors in instances where the original contractor is out of business.In 2010, in 1324 W. Pratt Condominium Ass'n v. Platt Constr. Group, Inc. the court dispensed with the requirement that the builder of the home also be the seller. … [Read more...] about The Implied Warranty of Habitability: Recent Developments