Comon Element Structure Warranty

Started by PegM2 • 7 replies • 971 views

💬 Join us to post & get advice from 50,000 HOA & Condo leaders.

⚡ Takes 30 seconds

Already a member? Log in

PegM2 (Pennsylvania)
Posts: 10

Posted:

In Pennsylvania is there an established procedure in the Declarant's 2-year warranty as to how an HOA should notify the Developer/Declarant about defects?

Thank you for the help!

JanetB2 (Colorado)
Posts: 4,219

Posted:

Quote:

Posted By PegM2 on 10/22/2017 10:59 AM
In Pennsylvania is there an established procedure in the Declarant's 2-year warranty as to how an HOA should notify the Developer/Declarant about defects?

Thank you for the help!

Are you single family homes or condo?

PegM2 (Pennsylvania)
Posts: 10

Posted:

We have garden homes (two-three family) and single family. Clubhouse Warranty expired in June, 2017 and our board keeps putting off negotiations with developer. (The board did send a certified letter to developer in early June but tell us that damage that has occurred since then will still be covered by developer.) Are we missing a "window of opportunity" to get some remediation from developer? Lots of issues with drainage, grading, and stormwater management also.Thanks for the help.

PegM2 (Pennsylvania)
Posts: 10

Posted:

JanetB2 (Colorado)
Posts: 4,219

Posted:

Quote:

Posted By PegM2 on 10/22/2017 4:18 PM
We have garden homes (two-three family) and single family. Clubhouse Warranty expired in June, 2017 and our board keeps putting off negotiations with developer. (The board did send a certified letter to developer in early June but tell us that damage that has occurred since then will still be covered by developer.) Are we missing a "window of opportunity" to get some remediation from developer? Lots of issues with drainage, grading, and stormwater management also.Thanks for the help.

You potentially should consult with an attorney. Even though the developer gave 2 year warranty sometimes the State Law could dictate more time for construction issues. Yes ... potentially you are missing a window of opportunity because if not addressed in a timely manner as noted in both your Contracts and State Law, then it could be too bad ... so sad. For example if your State Law says maybe 3 years to pursue for development issues it could be the developer will drag out with "false" promises until it is too late via the law. A consultation is generally not that much (can call around and get quotes from different attorneys) and sometimes the first X amount of time is at no charge. So if you go in prepared with quick questions it might cost nothing.

JanetB2 (Colorado)
Posts: 4,219

Posted:

Also, check with your local Planning Department and Government Council regarding your concerns. Possibly they still have not yet released the Developer's Site Improvement Agreement earnest money, and they need to be made aware of certain construction issues so maybe they can address via their own contract with the Developer. SIA's usually will cover storm water drainage and other such issues.

JanetB2 (Colorado)
Posts: 4,219

Posted:

BTW ... the SIA contract most likely is "public" information between the developer and local government. You most likely can ask for a copy and just need to pay what they charge per page for copies, or it might be filed with your local County Records where in some Counties they are available on-line and can print yourself or pay a fee to them for copies.

KerryL1 (California)
Posts: 14,550

Posted:

I urge you and you board to find a construction defects attorney now! States vary as to how long you have before the statute of limitations expires on construction defects. In CA now it's only three years. This is UNrelated to your developer's warranties, which you should be vigorously pursuing. Read them!

Also read your CC&Rs, which very well may tell you how to pursue the remedy of construction defects. There also may be state statutes that protect HOAs from foot-dragging developers.

Your Board should NOT make the mistake of assuming that because your structures passed local building inspections that they are defect free. Do not assume because you have certificates of occupancy, or whatever they're called in PA, that you are defect free. Municipal building inspectors.

I may sound alarmist, but previous boards in our HOA were sweet-talked by our developer into believing we had no defects. We filed defect pre-litigation just in the knick of time. Our settlement was about $5 million (high rise) and yes, the window would've slammed shut without advice from an HOA instruction defect attorney to move forward.

🎯 You've read this entire discussion

Join the conversation with 50,000 HOA & Condo Leaders:

✓ Ask follow-up questions
✓ Share your experience
✓ Get expert advice
✓ Access 350,000 discussions

Create Free Account →

⚡ Takes 30 seconds

Already a member? Log in here