Ohio Latest State to Pass Notice and Opportunity to Repair Law
Ohio Gov. Bob Taft has recently signed into law notice and opportunity to repair legislation that enables home owners and home builders to settle construction defect disputes without engaging in costly and time-consuming litigation.
Ohio joins neighboring states — including Indiana, Kentucky, Michigan and West Virginia — in adopting notice and opportunity to repair, or “right to cure,” laws. Over the last three years, 21 states have enacted right to repair laws, and 24 states now have them on the books.
“Notice and opportunity to repair laws provide a common-sense approach to dealing with construction defect problems,” said NAHB President David Wilson. “It’s an approach that has received widespread support across the country.”
The new Ohio law, which was signed by the governor on Feb. 22, requires home owners to provide written notice to builders 60 days before filing a lawsuit alleging that there is a construction defect in a newly constructed or renovated home.
Contractors would then have 21 days to propose to inspect the alleged defects, offer to settle the claim by payment or dispute the claim. Notice and right to cure preserves the home owner’s right to sue if they are not satisfied with the builder’s settlement offer.
“Notice and right to cure is a common-sense approach to resolving legitimate consumer complaints and addressing construction defect concerns in a way that can help both the home owner and the builder avoid expensive court battles,” said Bill Fannin Jr., president of the Ohio Home Builders Association (OHBA). “It will help bring stability to the general liability insurance market plaguing the residential construction industry as a result of the increasing number of construction defect lawsuits.”
For more information, NAHB members can click here; or e-mail Blake Smith at NAHB, or call him at 800-368-5242 x8583.