Bill > HB4045

This bill aims to streamline and clarify the process for addressing construction defects in dwellings. It modifies existing laws to allow sellers to make offers to repair or replace alleged defects earlier in the process, and purchasers must now accept or reject these offers in whole or in part before proceeding with a lawsuit, known as a "dwelling action." The bill also clarifies that the seller bears the burden of proving which construction professional is responsible for a defect, while the purchaser must prove the defect's existence and damages. Additionally, it mandates that in contested dwelling actions, the "successful party" (either the purchaser if they achieve a better outcome than the seller's offers, or the seller if they don't) will be awarded reasonable attorney fees, expert witness fees, and taxable costs, with specific criteria for determining success. The bill also introduces a requirement for licensed contractors to report civil judgments and arbitration awards against them to the registrar, who can then investigate and potentially suspend or revoke licenses, and imposes civil penalties for violations. Furthermore, it clarifies that after a development is completed and marketing ceases, the declarant (developer) can no longer enforce or modify community governing documents, and it adjusts statutes of limitations for claims against declarants by associations.

Business and Industry

https://apps.azleg.gov/BillStatus/BillOverview/85562