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Pending Florida Legislation Impacting Statutes of Limitations and Repose For Construction-Related Lawsuits
Legislation in Florida may soon change the time property owners have to file construction-related lawsuits. Both the Florida Senate, with SB 360, and the House of Representatives, with HB 85, passed identical bills and recently converted them into an Act to be presented to the Governor. If signed into law, the Act would revise the lawsuit “triggering actions” in section 95.11 of the Florida Statutes to provide that actions related to the design, planning, or construction of an improvement to real property must be filed within four years from the date of the issuance of a temporary certificate of occupancy, certificate of completion, or date of abandonment of incomplete construction, whichever is latest. Under the current law, the “triggering actions” for lawsuits are the date of actual possession by the owner or the issuance of the certificate of occupancy. The Act would also shorten the time limit from ten to seven years from the new “triggering actions,” to file lawsuits based on “latent defects” – which are defects in the construction of a building that could not have been discovered by reasonable and customary observation or inspection at the time of the sale of the property to the owner.
Statutes of limitations and repose are important dates for contractors and owners to track as a construction project nears completion so that legal rights to file suit and/or defend a suit are exercised if construction defects arise. This legislation should also serve as a reminder for contracting parties to collaborate to the extent possible to facilitate inspections as soon as defects arise so that the original contracting parties have an opportunity to remedy problems that even they may not have anticipated or observed at the time of construction. If you have questions about potential construction defects on your construction project, do not hesitate to call upon our Construction Practice Group for assistance.