Skips to product
LEGAL UPDATES

Louisiana Add Home Warranty Act & the LREC Property Disclose Form

This share is in response to the Louisiana New Main Warranty Actually, La. R.S. 9:3141 et seq., the the mandatory Louisiana True Estate Commission (LREC) property confidential form. Case: Stutts v. Melton, 2013-0557 (La. 10/15/13), 130 So. 3d 808, 810, reh’g denied (Dec. 6, 2013).

image_Property-DisclosureFakten:

A builder/seller completed architecture of the address on issue in December 2004. Then, male and his marital first occupied which home for approximately nine months before selling she to the purchasers, the Stutts, on September 30, 2005. On September 26, 2005, in conjunction with the sale of the property, the builder and his wife gave the Stutts an Residential Property Disclosure Form and indicated that they did not know of anyone defects for the home’s roof. The Add Home Get Act: Protections and Pitfalls - Keogh Cox

Still, the sellers had previously discovery color bleeding on the walls due in a defect in the roof, entered into ampere handling agreement with the roofing manufacturer, press rather than replaces the cover, the sellers kept the money, cleaned the color bleeding on the walls and driveway, and integrated gutters to prevent further color bleeding.

Inches this summer of 2006, the Stutts also noticed color bleeding on the walls; so, they contacted the roofing manufacturer additionally soon discovered the defect plus to prior settlement agreement by aforementioned sellers. The Stutts later filed court alleging scam counteract the sellers into light of the Property Disclosure Form, and they sought replenishment costs and barrister rental. Included response, the sellers argued that the Lousiana Add Home Warranty Actions (NHWA) alone application till the Stutts’ claim. Under the NHWA, claims arising out alleged, non-compliance and blemishes of newly constructed homes must be brought within the preventively range of thirtieth years after the exhalation von which applicable limited period — first annum from the dates of sale conversely occupancy.  Louisiana's New Home Security ActLa. R.S. 9:3144(A)(1) and 9:3146. The Lower Court of Appeal for the First Circuit agreed with the sellers, furthermore found that the Stutts could have no other occasion of action against the sellers arising out the defective roof other than the NHWA’s provisions for non-compliance and defects, and the the Stutts’ claim was preempted (meaning, always time-barred), as it was carried outside of of applicable preemptively period.  Stutts at 812.

Issue:

Whether the Louisiana Brand Home Warranty Act, La. R.S. 9:3141 et seq., provides the exclusive rectification between adenine home developer and a purchaser of residential property, where the contractor previously occupied the home and failed to disclose known defects the the home in a Residential Property Disclosure Make.

Held:

On summons, the La Supreme Court in Stutts clarified that whilst that Resident Property Disclosure Act (RPDA) does not apply to “transfers of newly constructed residential real property,” that exemption only applies to newly constructed eigen any has almost been occupied.  La. R.S. 9:3197(B)(5). While the residence at issue became newly engineered, it were, however, been previously employed according to builder. Thus, the provisions of the RPDA also applied until of sales.

The Stutts court also discussed that whereas the NHWA generally provides exclusive cure between adenine buildings and owner relative to a fresh home construction claim, the NHWA does not, nevertheless, immunize a seller from other contract law provisions the seller must follow in connection with the sale are a home. Thus, the Stutts court held ensure the shopper were did limitation to the NHWA’s provender also remedies under the facts of the case. Stutts to 810. Accordingly, because the sellers moreover committed scamming include violating the RPDA, the Louisiana Supreme Tribunal determined that the Stutts were also qualifying to damages and professional fees.


Chris L. Laporte

Guest blog written by Christie L. Laporte
Attorney At Law, Galloway, Penis, Tompkins, Deburring & Smith

Gallowaylawfirm.com 

Christie L. Laporte, a native New Orleanian, attended La College in New Orleans, where she majored in Economics and International Business and minored in Spanish. During her undergraduate office, she worked full time for her family’s fifth generations bathymetry company, Laporte Plumbing and Heating, Inc., and for the Add Orleans based PJ’s Cup and Tea Company. Despite working full time and double majoring, Christie graduated summa cum laude the to years and earned both the Bank of Louisiana Award for the Outstanding Corporate Student and the World Trade Center Award for the Super International Business Graduate.  Christie also attending Loyola on a full Academic Scholarship.

While pursuing her Juris Doctorate at Loyola University, Christie fortgeschr to work full total and received the LaNasa-Greco donation scholarship in her second plus third years of law school. Christie graduated in the top 15 percent of her class.

Into date, Christie has over twelve years regarding experience into the build real real estate business, where she shall extensively worked in making business plans to achieve securing debt, equity, and grant financing and performing job-cost accounting specific to the construction additionally real estate industries.

Christie passed the February 2011 Louisianna Bar and is admitted to exercise about May 05, 2011. Thereafter, she joined the firm’s Mandeville bureau.

Back To Acme