Dealing with Hidden Defects in New Construction: Your Legal Options in Florida
Purchasing a newly constructed home should be one of life’s most exciting milestones. However, discovering hidden defects months or even years after moving in can quickly turn that dream into a nightmare. If you’ve found hidden problems in your Florida home that weren’t apparent during your initial walkthrough, you’re not alone, and more importantly, you have legal rights.
Florida has robust laws protecting homeowners from construction defects, including recent changes that strengthen your protections. Understanding these laws and your options is crucial for protecting your investment and ensuring you get the quality home you paid for.
Understanding Construction Defects: Patent vs. Latent
Construction defects fall into two main categories that significantly impact your legal options:
Patent Defects are obvious flaws that you can see immediately or with a reasonable inspection. These might include visibly cracked foundations, doors that don’t close properly, or apparent water damage.
Latent (Hidden) Defects are the more problematic category for homeowners. These defects remain hidden and are not easily noticeable, even with a reasonable inspection.
Examples include:
- Faulty electrical wiring inside walls
- Plumbing issues that don’t manifest immediately
- Structural problems that take time to develop
- Water intrusion that leads to hidden mold growth
- Foundation issues that develop over time
Latent defects often take years for homeowners to notice, as things like small water leaks can allow mold to grow for years before becoming apparent.
Recent Changes to Florida Construction Defect Law
Florida homeowners need to be aware of significant recent changes to construction defect laws that have shortened the time to file claims.
The New 7-Year Rule
In April 2023, Florida modified the statute of repose for construction defect claims from 10 years to seven years.
This change affects when homeowners can file lawsuits:
- Statute of Limitations: You still have 4 years from when you discover (or reasonably should have discovered) a defect to file a lawsuit
- Statute of Repose: All claims are now barred after seven years, running from the earliest occurrence of any triggering events, regardless of the nature of the alleged defect or the timing of its discovery
What Triggers the Clock
The clock now begins running at the earliest of these events as opposed to the latest, as it did under the prior statute:
- Issuance of a temporary certificate of occupancy
- Issuance of a certificate of occupancy
- Issuance of a certificate of completion
- Date of abandonment (if construction wasn’t completed)
This means the seven-year window may start running before you even move into your home, making it crucial to identify defects as early as possible.
Your Legal Protections: Implied Warranties
Florida law provides several implied warranties that protect new home buyers, even if they’re not explicitly written in your contract.
Implied Warranty of Habitability
Florida courts have decided that buyers of newly constructed homes are entitled to a promise from the builder that the house is habitable and fit for its intended purpose. Elements for a cause of action for breach of the implied warranty of habitability appear to consist of the following under Florida law: The builder sold a newly constructed residence directly to plaintiff; at the time of sale, latent defects caused a failure of residence to meet ordinary, usual standards reasonably to be expected of living quarters of comparable kind and quality; the buyer was damaged by the builder’s failure to provide habitable premises.
Implied Warranty of Workmanlike Manner
This warranty ensures that construction work meets professional standards and industry practices. The implied duty to perform the construction contract in a workmanlike manner has been applied to the installation of building materials, but not to the construction materials themselves.
Implied Warranty to Construct According to Plans
Florida courts also recognize a warranty assuring buyers that the construction will be done according to the plans on file with local building authorities.
How Insurance May Cover Florida Construction Defects
Most builders’ risk policies, contractor general liability insurance (CGL), or homeowner’s insurance policies contain specific exclusions or limitations for construction defects. In many cases, insurance companies attempt to deny coverage by arguing the defect was due to faulty workmanship or was a pre-existing condition.
However, under certain circumstances, you may still have valid coverage for:
- Resulting damage (e.g., water damage caused by defective roofing)
- Structural failure caused by a covered peril
- Damage to neighboring property due to your home’s defect
Successfully navigating a construction defect insurance claim in Florida requires a thorough understanding of your policy language, especially regarding “your work” exclusions, “products-completed operations” hazards, and ensuing loss provisions.
Holding the Right Parties Accountable for Construction Defects
In many cases, more than one party may be liable for the hidden defects in your home or commercial property.
Responsible parties could include:
- General contractors
- Subcontractors
- Developers
- Architects or engineers
- Product manufacturers (for defective materials)
Each party must perform work according to Florida’s Building Code, industry standards, and the terms of your contract. When that duty is breached, and the result is a latent construction defect, you have legal grounds to file claims for negligence, breach of contract, breach of warranty, or strict liability.
Why You Need a Florida Construction Defect Insurance Lawyer
Hidden construction defects often lead to denied insurance claims or lowball settlement offers. Without skilled legal representation, homeowners and property developers can be left paying out of pocket for damage they didn’t cause.
An experienced Florida construction defect insurance claim lawyer can help:
- Interpret your insurance policy and identify coverage options
- File a strong notice of claim under Florida Statute § 558
- Negotiate with insurers who attempt to deny or delay payment
- Pursue litigation against responsible contractors or developers
- Coordinate expert inspections and testimony to prove your case
Working with a legal team that understands the intersection of construction law, insurance law, and litigation strategy is critical to securing full compensation for your damages.
What to Do If You Discover a Hidden Construction Defect
If you believe your property has a hidden defect, take the following steps immediately:
- Document Everything: Take photos and videos of the damage.
- Review Your Contracts and Warranty Documents: These may contain provisions for repair or liability.
- Request a Professional Inspection: An engineer or licensed contractor can help assess the extent of the defect.
- Notify the Responsible Parties: Comply with Chapter 558 requirements to preserve your rights.
- Contact Our Construction Defect Attorneys: The sooner you involve legal counsel, the better your chances of recovering damages.
The Bottom Line
Construction defects in new homes can be financially devastating and emotionally draining. However, Florida law provides meaningful protections for homeowners who follow proper procedures and act within required timeframes.
The key is understanding that for latent defects, the four-year statute of limitations doesn’t start ticking until the time you discover, or could have reasonably discovered, the defect. However, a seven-year statute of repose, beginning from the time of occupancy, applies to all construction defects, even latent ones.
Don’t let construction defects compromise your family’s safety or your financial security. If you suspect defects in your newly constructed Florida home, document the problems, follow the Chapter 558 notice procedures, and consult with an experienced construction defect attorney to understand your options and protect your rights.
Remember: with Florida’s shortened timelines, waiting too long could mean losing your right to seek compensation entirely. When it comes to construction defects, time truly is of the essence.