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CONSTRUCTION WARRANTIES

18th Annual Construction Law Conference

March 3 & 4, 2005

San Antonio, Texas

Chris E Ryman
Ian P. Faria

Coats, Rose, Yale, Ryman & Lee, P.C.
Houston, Texas




Table of Contents

Introduction
  1. UCC Warranties
    1. Scope of Work
    2. Three UCC Warranties
    3. Obstacles to UCC Warranty Claims
    4. Damages for Breach of UCC Warranty
  2. Non UCC Warranties
    1. Express Warranties of the Contractor
    2. Implied Warranties of the Contractor
    3. Extension to Subsequent Purchasers
    4. Duty to Adequately Supervise
    5. Waiver of Implied Warranties
    6. Warranties of the Architect
    7. Implied Warranty of Owner to Contractor Regarding Sufficiency of Plans and Specifications
    8. Developer’s Implied Warranties
    9. Public Owner’s Implied Warranties
    10. Subcontractor’s Implied Warranties
  3. New Limited Statutory Warranties
Conclusion
Biography of Chris E Ryman
Biography of Ian P. Faria

Abstract

The law on construction warranties is often complex and is easily confusing. This is due in part to the way these warranties are applied to the persons or entities involved in a construction project. Many of the warranties involve the same concepts (and are even titled the same) but have varying implications depending on whom you represent. This article attempts to sort through the confusion, clarify the different warranties, and explain to whom they apply.

Construction warranties continue to evolve. The passage of the TRCCA and the court’s continued efforts to further define the implied warranties have changed the landscape to a certain degree in residential construction. It is very important to clearly identify early on in your representation whether you have potential UCC warranty claims or Non UCC warranty claims. Furthermore, it is always important to remember whether you are dealing with commercial construction or residential construction. The law differs depending on this distinction (i.e. the TRCCA does not apply to commercial construction). Additionally, you should review the elements of each warranty claim to evaluate potential claims and defenses. A good resource is O’Connor’s Causes of Action.




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