RIGHT TO REPAIR
Your Must-Know Guide to Right to Repair Law Documentation

One of the substantial value propositions that a Compendia solution offers builders is a means to satisfy, and/or maximize compliance with right to repair laws across the country. Currently, more than half the states in the U.S. have adopted various fix-it laws and our documentation solutions provide a way to present an affirmative defense should you be involved in a Construction Defect Litigation case.

Some laws are more complex than others, but regardless of the state in which you build, collective wisdom states that it is not an issue of if you will be sued, but a matter of when. And whether there is a specific law dictating your rights, or the courts are driven by case law precedent, you need to take steps to protect your assets. The following is some information about right to repair laws. For more specific information about your state, consult our Compliance Map.

Industry experts agree. Approximately 80% of defects that homebuilders are sued over are maintenance issues.

Even after “peer-to-peer” planning and construction checks, video and camera documentation, and homeowner education programs, in today’s litigious environment a costly lawsuit can still result. The reliable, comprehensive documentation that Compendia offers is the best defense.

What do right to repair laws mean to you?
In a nutshell, right to repair laws codify two rights.

• The right of the homebuyer to have the home be what it’s intended to be.
  
• The right of the homebuilder to fix whatever might be validly wrong or inoperative in the home without costly and draining legal action.
  
• Homebuyers have an obligation to take reasonable steps to maintain their homes.

What do "manufactured products" have to do with this, and why are they my responsibility? I don’t build that stuff, I just install it.
According to right to repair laws, the homebuyer has the right to expect that manufactured products do what they’re supposed to do for as long as they’re intended to last, and performance can be affected by installation.

For example, manufactured products, including, but not limited to, windows, doors, roofs, plumbing products and fixtures, fireplaces, electrical fixtures, HVAC units, countertops, cabinets, paint, and appliances shall be installed so as not to interfere with the products' useful life, if any.

What are “manufactured products” according to this law?
A manufactured product is typically defined as “a product that is completely manufactured offsite.”

How do I know what a product’s “useful life” is supposed to be?
"Useful life" means a representation of how long a product is warranted or represented, through its limited warranty or any written representations, to last by its manufacturer, including recommended or required maintenance.

So what am I, the builder, supposed to do?
A homeowner is obligated to follow all reasonable maintenance obligations and schedules communicated in writing to the homeowner by the builder and product manufacturers, as well as commonly accepted maintenance practices. A failure by a homeowner to follow these obligations, schedules, and practices may subject the homeowner to the affirmative defenses...

In plain English, "affirmative defense" means you have a legal leg to stand on. With an affirmative defense, you're far more likely to head off court action in the first place, and/or to prevail in court should a complaint come to that.

For example:
To the extent it is caused by the homeowner or his or her agent, employee, subcontractor, independent contractor, or consultant by virtue of their failure to follow the builder's or manufacturer's recommendations, or commonly accepted homeowner maintenance obligations. In order to rely upon this defense as it relates to a builder's recommended maintenance schedule, the builder shall show that the homeowner had written notice of these schedules and recommendations and that the recommendations and schedules were reasonable at the time they were issued.

Here’s the “big deal”
If you can show that you communicated in writing to the homeowner relevant manufactured product information, this law can protect you from lawsuits.

So what must I provide the homeowner? And when?
… a builder shall provide to the homeowner or his or her legal representative copies of all manufactured products maintenance, preventive maintenance, and limited warranty information within 30 days of a written request for those documents. These documents shall also be provided to the homeowner in conjunction with the initial sale of the residence.

How do I ensure all the legal protection I can get?
At the sale, provide the homeowner a document (e.g., a manual) that as completely as possible contains copies of all manufactured products maintenance, preventive maintenance, and limited warranty information.

So, what’s the easiest, most cost-effective, and dependable way to ensure I'm in compliance with the right to repair laws in my state and have provided for an affirmative defense?
Follow your business model in all other things.

Why can't I have an administrative person in the office do this? They can run a copier as well as anyone.
You could, certainly.

Just know going in that it will become a full-time job, your employee in all likelihood will hate it, and no matter how much effort they expend, the job simply won't be done as well as it could be – and should be.

• You need a separate version of the manual for each project/community
• You need manufactured product information for more than 35 standard items provided and/or installed by subcontractors
• You need to update the manuals whenever the products change

OK, then, why shouldn't I ask my Purchasing Department to do it? After all, they know what products have been installed in the homes.

Their profession is purchasing, not producing manuals…frankly, it would ultimately cost more to hijack their labor than to outsource documentation to professionals. And the result would be a far less professional manual.

There's also this: sometimes, Purchasing merely specs the component (cabinets, doors, etc.) while the subcontractor selects the actual manufacturer. In cases like these, Purchasing may not know what really ended up in the home.

Let the paper chase begin.

Note: We are not attorneys, and this document was created for informational purposes. All decisions remain yours. This document does not constitute, nor should it be considered to contain, legal advice. Please evaluate your needs and make decisions in conjunction with appropriate legal counsel.