David McLain, Author at Colorado Builder Magazine

(Photo: Glenn Nagel, dreamstime.com)

Why builders should reconsider arbitration clauses in construction contracts

My advice to home builders has long been to arbitrate construction defect claims instead of litigating them in front of

Builders can’t bulletproof their projects from construction defect suits, but they can take steps to limit actual defects.

Inadequate grading was among the most common claims in construction defect suits. (Illustration: Aleutie, Dreamstime)

One of the most common questions I get is: “What are the most commonly claimed construction defects?”

Builders must be aware that any repairs performed will likely start anew the statutes of limitation and repose for the repairs.

Do what it takes to make clients happy, but watch out for unintended consequences.

For the vast majority of cases, there will not be an outcome the builder views as a win.

Builders need to be satisfied any time a conflict is resolved without attorneys.

A pair of unsuccessful bills would have weakened the case for arbitration.

The year following statutory or appellate changes to the law proves to be of little import at the legislature.

The Denver City Council building

Single-family homebuilders could be in plaintiffs’ attorneys crosshairs.