CONSTRUCTION LAW UPDATE

INTRODUCTION 3

SOVEREIGN IMMUNITY 3

ARBITRATION 4

Scope 4
Fraud & Unconscionability 5
Waiver 7
Lien Rights 7

HOMEOWNER LITIGATION 9

Implied Warranties 9
Fraud 11
Residental Construction Liability Act ("RCLA") 11

INSURANCE 13

MECHANICS' AND MATERIALMEN'S LIENS 14

PERSONAL INJURY 16

Abstract

Significant "recent developments" in Texas construction law are the continuing shift of private construction disputes from litigation into arbitration, and the transfer of public construction disputes from the courts into oblivion, through the device of sovereign immunity. Both of these developments continue to reduce the amount of court-made construction law. Nevertheless, there have been some recently reported court decisions that clearly affect the industry.

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