HCS HB 1166 -- RESIDENTIAL CONSTRUCTION

SPONSOR:  Johnson, 47 (Pratt)

COMMITTEE ACTION:  Voted "do pass" by the Committee on Local
Government by a vote of 16 to 0.

This substitute creates a procedural prerequisite for filing a
lawsuit for defective residential construction.  In its main
provisions, the substitute:

(1)  Requires homeowners to provide written notice to contractors
detailing the alleged defective construction prior to filing a
lawsuit;

(2)  Requires contractors to respond timely in writing, offering
an inspection followed by repair, monetary compensation, or
disputation of the claim; offering monetary compensation; or
disputing the claim;

(3)  Delineates the circumstances in which homeowners must first
attempt a mediation of claims or may proceed directly to filing a
lawsuit; and

(4)  Requires contractors to provide homeowners with a notice of
the procedural prerequisite for filing a lawsuit at or prior to
entering into construction contracts.

FISCAL NOTE:  Not available at time of printing.

PROPONENTS:  Supporters say that the bill provides protections
for both homeowners and homebuilders, gives builders a better
method to serve their clients' needs, and provides both parties
the opportunity to avoid litigation, thereby saving money.

Testifying for the bill were Representative Pratt; Home Builders
Association of Greater Springfield; Robert L. Frost; Home
Builders Association of Greater St. Louis; MCS Homes,
Incorporated; Home Builders Association of Missouri; St. Louis
Home Builders Association; Missouri Manufactured Housing
Association; and Missouri Association of Realtors.

OPPONENTS:  Those who oppose the bill say that it doesn't benefit
homeowners or community associations.  It only protects builders,
and the required mediation actually can cost more than
litigation.

Testifying against the bill were Missouri Association of Trial
Attorneys; and Community Associations Institute.

Julie Jinkens McNitt, Legislative Analyst

Missouri House of Representatives
92nd General Assembly, 2nd Regular Session
Last Updated September 23, 2004 at 11:14 am