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Bill > HB1230

CO HB1230

CO HB1230
Protections for Real Property Owners

summary

Introduced
02/12/2024
In Committee
04/16/2024
Crossed Over
04/08/2024
Passed
Dead
05/08/2024

Introduced Session

2024 Regular Session

Bill Summary

Current law declares void any express waivers of or limitations on the legal rights or remedies provided by the "Construction Defect Action Reform Act" or the "Colorado Consumer Protection Act". Sections 1 and make it a violation of the "Colorado Consumer Protection Act" to obtain or attempt to obtain a waiver or limitation that violates the aforementioned current law. Section 4 also requires a court to award to a claimant that prevails in a claim arising from alleged defects in a residential property construction, in addition to actual damages, prejudgment interest on the claim at a rate of 6% from the date the work is finished to the date it is sold to an occupant and 8% thereafter. Current law requires that a lawsuit against an architect, a contractor, a builder or builder vendor, an engineer, or an inspector performing or furnishing the design, planning, supervision, inspection, construction, or observation of construction of an improvement to real property must be brought within 6 years after the claim arises. Section 2 increases the amount of time in which a lawsuit may be brought from 6 to 10 years. Current law also provides that a claim of relief arises when a defect's physical manifestation was discovered or should have been discovered. Section 2 also changes the time when a claim of relief arises to include both the discovery of the physical manifestation and the cause of the defect. Section 3 voids a provision in a real estate contract that prohibits group lawsuits against a construction professional. Section 5 of the bill prohibits governing documents of a common interest community from setting different or additional requirements than those in current law for a construction defect action.

AI Summary

This bill proposes several key changes to Colorado's laws regarding construction defect actions and consumer protections: 1. It makes it a violation of the Colorado Consumer Protection Act to obtain or attempt to obtain a waiver or limitation on a consumer's legal rights, remedies, or damages related to construction defects or the Construction Defect Action Reform Act. 2. It extends the statute of limitations for lawsuits against architects, contractors, builders, engineers, and inspectors from 6 years to 10 years after the substantial completion of the improvement to real property. 3. It voids any provision in a real estate contract, homeowners association declaration, or governing documents that limits a property owner's right to bring or join a legal action with other claimants against a construction professional. 4. It requires courts to award prejudgment interest to claimants who prevail in claims arising from residential property construction defects, at a rate of 6% per year from the time the defective work was finished or the property was sold, and 8% per year thereafter. 5. It prohibits homeowners association governing documents from imposing different or additional requirements than those in the statute for construction defect actions.

Committee Categories

Housing and Urban Affairs, Justice

Sponsors (21)

Last Action

Senate Second Reading Laid Over to 05/09/2024 - No Amendments (on 05/07/2024)

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