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Roger, Lawyer
Category: Real Estate Law
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Experience:  BV Rated by Martindale-Hubbell; SuperLawyer rating by Thompson-Reuters
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I sold a new construction home in October of 2007 to an individual.

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I sold a new construction home in October of 2007 to an individual. In the buy/sell agreement it stated that the home had a 1 year warranty. The buyer waived there right to inspect the home prior to closing in the buy/sell. Apparently there were some issues with the home and the buyer took the issues to the builder, some were taken care of, others apparently weren't. The warranty then expired in October of 2008. I was never contacted by the buyer during the warranty period. I then received a call in May of 2010 from the buyer stating that they feel I am responsible for the unfinished repairs. I feel like I am not since I was contacted over 1-1/2 years after the warranty had expired. Can you tell me if I am correct.?
Submitted: 6 years ago.
Category: Real Estate Law
Expert:  Roger replied 6 years ago.

The expiration of the warranty itself does not extinguish your liability exposure.


In Montana, a person can sue for breach of contract up to 8 years after the breach. Also, a claim of fraud or intentional/negligent misrepresentation can be filed up to 2 years after the event.


Also, Montana has a 10 year statute of repose for construction defects. This means that the person has up to 10 years to sue for defective construction.


Thus, the people are within their timeframe to sue if they so choose.


However, if the people didn't have a home inspection done, that's going to hurt them and be your best defense. If the issues could have been uncovered by the inspection, that's going to reduce their right to recover from you UNLESS they can prove that you knew about the problems and didn't say - which is highly unlikely.

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