What is a Home Builder’s Warranty Agreement?
When a new construction home is completed by a home builder, the client should be confident that the manufacturer or seller they’ve hired will provide high-quality products and perform high-quality work. In the construction industry, client confidence becomes even more critical as the high standards expected of contractors directly impact safety. In such situations, warranty contracts come in handy.
A construction warranty is a legal document in which the contractor provides a covenant that guarantees to the client (homeowner) that they will perform all works following building codes and standards and project specifications without flaws or defects. Breaching such an agreement results in monetary recovery of related damages and costs for material replacement or reparation works to be carried out at the contractor's expense.
The Magnuson-Moss Warranty Act, a US federal law enacted in 1975, regulates warranty contracts. It states that while not all products and services require written guarantees, if parties conclude one, then such an agreement must comply with the Act. This law aims to prevent manufacturers from misleading clients with inappropriate and unfairly made disclaimers on the guarantees.
Types of warranties
There are two general types of contractor warranty agreements:
- Express warranty is a written or verbal guarantee from the seller that the purchased product is of a certain quality and that the seller can replace or repair it if there are any defects.
- Implied warranty is a guarantee that the purchased product operates as it should.
Builders’ warranties operate under another classification because of industry specifics:
- Time-based warranty is the contractor’s promise to provide a particular thing in a defined condition at a specified time (for example, to guarantee the construction is waterproof for a certain number of years).
- General warranty is a guarantee to perform defined works according to the project blueprints and specifications without a time reference.
Preparing a new Home builder warranty To complete your paperwork correctly, use a verified home builder’s timely-based guarantee agreement from the US Legal Forms library. This multi-state editable and printable legal template requires you to fill out the following information:
- Name and contact details of the contractor and the buyer;
- Newly-constructed house description;
- List of items that are under builder’s guarantees (can be expanded);
- List of items the builder doesn’t take responsibility for (can be changed);
- Name of the state that will govern the agreement.
A Bronx New York Home Builder's Warranty Agreement is a legal document that outlines the terms and conditions of a warranty provided by a home builder for a property in Bronx, New York. This agreement provides protection and assurance to the homeowner against defects in materials, workmanship, and structural components of the newly constructed home. Key elements included in a Bronx New York Home Builder's Warranty Agreement typically cover a specific time period, such as one year, from the date of completion or closing. This warranty agreement is crucial for homeowners as it helps them ensure their investment is protected and any potential issues that may arise with the construction or installation of components in their new home are addressed. Some common types of warranties found in Bronx New York Home Builder's Warranty Agreements are as follows: 1. Structural Warranty: This warranty covers major structural elements such as foundation, load-bearing walls, beams, framing, and roof systems. Typically, this warranty provides coverage for a longer duration, such as ten years. 2. Systems Warranty: This warranty covers the major mechanical systems in the home, including HVAC (heating, ventilation, and air conditioning), plumbing, and electrical systems. It ensures that these systems are installed correctly and function as intended. 3. Appliance Warranty: This warranty typically covers appliances installed by the builder, such as refrigerators, ovens, dishwashers, and laundry machines. It ensures that these appliances are in working order at the time of move-in and for a specific duration afterward. 4. Workmanship Warranty: This warranty covers any defects in the craftsmanship or quality of work performed by the builder. It ensures that the home is constructed according to industry standards and the plans and specifications provided. 5. Material Warranty: This warranty covers defects in the materials used during the construction of the home. It ensures that the materials used are of good quality and will not fail prematurely. Bronx New York Home Builder's Warranty Agreements are essential for both the builder and homeowner, providing confidence in the quality and reliability of the newly constructed home. Homeowners should carefully review the terms and coverage details outlined in the agreement to understand their rights and the duration of coverage provided. It is also essential to retain copies of the warranty agreement and promptly report any issues to the builder during the warranty period to ensure timely resolution.
