CHAPTER 428. STATE-SPONSORED INSPECTION AND DISPUTE RESOLUTION PROCESS

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Statutes > Texas > Property-code > Title-16-texas-residential-construction-commission-act > Chapter-428-state-sponsored-inspection-and-dispute-resolution-process

PROPERTY CODE

TITLE 16. TEXAS RESIDENTIAL CONSTRUCTION COMMISSION ACT

SUBTITLE D. STATE-SPONSORED INSPECTION AND DISPUTE RESOLUTION

PROCESS; STATUTORY WARRANTY AND BUILDING AND PERFORMANCE

STANDARDS

CHAPTER 428. STATE-SPONSORED INSPECTION AND DISPUTE RESOLUTION

PROCESS

Sec. 428.001. REQUEST FOR RESOLUTION. (a) If a dispute between

a homeowner and a builder arises out of an alleged construction

defect, the homeowner or the builder may submit to the commission

a written request for state-sponsored inspection and dispute

resolution.

(b) The request must:

(1) specify in reasonable detail each alleged construction

defect that is a subject of the request;

(2) state the amount of any known out-of-pocket expenses and

engineering or consulting fees incurred by the homeowner in

connection with each alleged construction defect;

(3) include any evidence that depicts the nature and cause of

each alleged construction defect and the nature and extent of

repairs necessary to remedy the construction defect, including,

if available, expert reports, photographs, and videotapes, if

that evidence would be discoverable under Rule 192, Texas Rules

of Civil Procedure;

(4) be accompanied by the fees required under Section 426.004;

and

(5) state the name of any person who has, on behalf of the

requestor, inspected the home in connection with an alleged

construction defect.

submits a request under this section, the homeowner must notify

the builder in writing of each construction defect the homeowner

claims to exist. After the notice is provided, the builder must

be provided with a reasonable opportunity to inspect the home or

have the builder's designated consultants inspect the home.

(d) At the time a person submits a request under this section,

the person must send by certified mail, return receipt requested,

a copy of the request, including evidence submitted with the

request, to each other party involved in the dispute.

(e) The commission by rule shall establish methods by which

homeowners may be notified of the name, mailing address, and

telephone number of the commission for the purpose of directing a

request to the commission.

(f) The commission shall provide a person who files a request

with a copy of the commission's policies and procedures relating

to investigation and resolution of a request.

(g) The commission by rule shall establish a standard form for

submitting a request under this section.

(h) The filing of a request under this section tolls the

limitations period in any action between the homeowner and the

builder arising out of the subject of the request until the 45th

day after the date a final, nonappealable recommendation is

issued under this title in response to the request.

Added by Acts 2003, 78th Leg., ch. 458, Sec. 1.01, eff. Sept. 1,

2003.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

843, Sec. 40, eff. September 1, 2007.

Sec. 428.002. BUILDER'S RIGHT OF INSPECTION. (a) In addition

to the right of inspection provided by Section 428.001(c), at any

time before the conclusion of the state-sponsored inspection and

dispute resolution process and on the builder's written request,

the builder shall be given reasonable opportunity to inspect the

home that is the subject of the request or have the home

inspected to determine the nature and cause of the construction

defect and the nature and extent of repairs necessary to remedy

the construction defect.

(b) The builder may take reasonable steps to document the

construction defect and the condition of the home.

days after the date of receiving the builder's written request,

any period for subsequent action to be taken by the builder or

the third-party inspector shall be extended one day for each day

the inspection is delayed after the fifth day.

Added by Acts 2003, 78th Leg., ch. 458, Sec. 1.01, eff. Sept. 1,

2003.

Sec. 428.003. INSPECTION BY THIRD-PARTY INSPECTOR. (a) On or

before the 30th day after the date the commission receives a

request, the commission shall appoint the next available

third-party inspector from the applicable lists of third-party

inspectors maintained by the commission under Subsection (c).

(b) The commission shall establish rules and regulations that

allow the homeowner and the builder to each have the right to

strike the appointment of a third-party inspector one time for

each request submitted.

commission to maintain a list of available third-party inspectors

for the various regions of the state, as required to satisfy the

provisions of this title.

Added by Acts 2003, 78th Leg., ch. 458, Sec. 1.01, eff. Sept. 1,

2003.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

843, Sec. 41, eff. September 1, 2007.

Sec. 428.004. INSPECTOR'S RECOMMENDATION. (a) If the dispute

involves workmanship and materials in the home of a nonstructural

matter, the third-party inspector shall issue a recommendation

not later than the 30th day after the date the third-party

inspector receives the appointment from the commission.

(b) If the dispute involves a structural matter in the home, the

commission shall appoint an approved engineer to be the

third-party inspector. The third-party inspector shall inspect

the home not later than the 30th day after the date the request

is submitted and issue a recommendation not later than the 60th

day after the date the third-party inspector receives the

assignment from the commission, unless additional time is

requested by the third-party inspector or a party to the dispute.

The commission shall adopt rules governing the extension of time

under this subsection.

(1) address only the construction defect, based on the

applicable warranty and building and performance standards; and

(2) designate a method or manner of repair, if any.

(d) Except as provided by this subsection, the third-party

inspector's recommendation may not include payment of any

monetary consideration. If the inspector finds for the party who

submitted the request, the commission may order the other party

to reimburse all or part of the fees and inspection expenses paid

by the requestor under Section 426.004.

(e) The commission may not require a builder to reimburse fees

or inspection expenses under this section if, before the

inspection, the builder offered to make repairs or have repairs

made substantially equivalent to those required by the findings

of the final report confirming the defect requiring repair.

(f) If, before the inspection, the builder has made or offered

to make repairs substantially equivalent to those required by the

findings of the final report confirming the defect, the agency

may not list the finding on the commission's Internet website.

Added by Acts 2003, 78th Leg., ch. 458, Sec. 1.01, eff. Sept. 1,

2003.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

843, Sec. 42, eff. September 1, 2007.

Sec. 428.005. THREAT TO HEALTH OR SAFETY. A builder who

receives written notice of a request relating to a construction

defect that creates an imminent threat to the health or safety of

the inhabitants of the residence shall take reasonable steps to

cure the defect as soon as practicable. If the builder fails to

cure the defect in a reasonable time, the homeowner may have the

defect cured and recover from the builder the reasonable cost of

the cure plus reasonable attorney's fees and expenses associated

with curing the defect in addition to any other damages not

inconsistent with this subtitle.

Added by Acts 2003, 78th Leg., ch. 458, Sec. 1.01, eff. Sept. 1,

2003.

State Codes and Statutes

State Codes and Statutes

State Codes and Statutes

State Codes and Statutes

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