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ABC Special Report
Investigation: New Home Heartbreak
Trump - NAHB Homebuilders Shoddy Construction and Forced Arbitration
Latest News
Nashville Tennessee Bad Homebuilding in the News
Thursday, 03 March 2005

Hundreds of residents dissatisfied with home builders
It is quite likely the biggest investment you'll ever make, but it shouldn't cost you everything. Hundreds of Tennessee home buyers are filing complaints about mold and water leaking into their brand new homes. The problems are eating away at their investments and making their families sick. When you buy a brand new home you don't expect it to leak.

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ABC News - Fine Print May Waive Legal Rights
Wednesday, 02 March 2005

Mandatory Arbitration Clauses Reduce Consumer Rights
When American consumers sign contracts — for credit cards, bank loans, mortgages or telephone service — language in the fine print often waives their right to employ the full extent of the law should the company violate the contract...The fine print of many contracts says consumers "waive the right to go to court" to resolve any disputes about a product or service. They are instead committed to binding arbitration... Claybrook says the system is flawed. "The process completely favors the corporation," she said. "The corporation does repeat business with the arbitration company and if the company routinely finds in favor of consumers or gives large awards to consumers, they don't get used again."

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Are Bob Perry Homes an Urban Renaissance or Nightmare?
Thursday, 24 February 2005
The Dead Zone
Houston buries its Inner Loop past under bright new shiny Perry Homes town houses
The company promises that its homes will be solid, care-free, efficient and economical... But Perry Homes refused to fix most of the problems...The founder of Perry Homes is the largest private political donor to Republican causes in the nation... And he's no less controversial within the camps of his own industry. University of Houston architecture professor Tom Diehl speaks for many in his profession when he describes the 72-year-old former schoolteacher as, simply, "the enemy." ... "The problem with the town houses [in Houston] is not that they're all the same; the issue is that they're the same miserable, low-quality design."
Read more...
 
Take Back You Rights - Frisco
Tuesday, 22 February 2005
Dallas Morning News
Financial Responsibility for Builders
It is feasible!

by Jo Hayman, HomeOwners for Better Building Dallas Representative
What's this? Do I see Take Back Your Rights in the Texas Residential Construction Commission's Texas Star Builder program? Would you trust your brain surgery to a surgeon who did not have malpractice insurance? I think not. However, the largest purchase of a lifetime is unsecured in Texas. The loss of your home due to shoddy construction can and does ruin lives, just as the slip of a surgeon's knife can do. The difference is that in the latter case, you have access to the court system.
Read more...
 
Homebuilder Spend less on Warranty Issues
Sunday, 20 February 2005

Homebuilding Industry Warranty Spending is Extremely Low
New homebuilder warranty claims are low, while homebuyer complaints are at an all-time high? 
When buying an airplane, helicopter, a car, a washer or dryer, computer, printer, desk or even an office chair, the percentage of dollars spent by the manufactures on customer warranty issues is greater than that spent by the homebuilding industry on defectively built new home warranty claims.  The percentage of earnings spent by a builder on warranty issues of a new home is as little as 0.3% while Gateway reported 6.2% and Lexmark International, a manufacturer of printers spent 9.7%.  Read the entire series: Warranty Week Six Part Series    

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Homeowners ask lawmakers to Mandate Builder Accountability
Wednesday, 16 February 2005

Amend HB730 – The Texas Residential Construction Commission Act

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Knoweledge & Financial Responsibility Optional for Builders
Tuesday, 15 February 2005

Homeowners storm Capitol
Janet Ahmad, president of HomeOwners for Better Building, said TRCC's Texas Star Builder Program is the main point of contention. The program allows builders to qualify as "star builders," demonstrating knowledge, experience and history of financial responsibility, Ahmad said. She said this must be made mandatory for builders instead of optional, as it is under the current system.

Read more...
 
TRCC Criticized
Tuesday, 15 February 2005
Home dispute panel criticized 
When Jordan Fogal and her husband purchased a new home in spring 2002, they never expected they'd be living in a tiny apartment two years later, stuck with a 30-year mortgage on a house that's falling apart. "My husband's 69 years old," said Fogal, of Houston, "but we're having to start our lives over like 20 year olds."
Read more...
 
Texas Observer - Capitol Offenses
Friday, 11 February 2005

The Agency that Bob Perry Built
For nearly a decade, homebuilders had steadily eroded consumer rights in Texas: Buyers who moved into brand-new houses and found cracked foundations and leaky roofs had little recourse. Some couldn’t file a lawsuit even if they wanted. They had signed housing contracts that forced them to resolve complaints through binding arbitration hearings notorious for favoring builders... Homebuilders are some of the state’s heftiest contributors to political campaigns. Their interests so dominate the TRCC that the new agency is little more than a tool to help the industry win disputes against consumers...Since 2001, the industry has donated more than $8.9 million to candidates, parties, and political action committees, according to an analysis by the campaign watchdog group Campaigns for People. That includes $744,562 to Gov. Rick Perry...

Read more...
 
'Healthy house' is a lifesaver
Tuesday, 08 February 2005

Washington Post
Woman's life is looking up now that her abode isn't making her sick
By JEFF TURRENTINE

 The ordeal, she claimed, had left her with debilitating symptoms known collectively as multiple chemical sensitivity syndrome, or MCS. Currently, the medical community classifies MCS as a "syndrome of unknown origin," like Gulf War syndrome or chronic fatigue syndrome. By now, Lively-Diebold is used to cynicism about her condition. It's one of the reasons she wanted to find "the type of architect who would listen to your input, not just tell you what you need to have."

Read more...
 
Are You Next by Jordan Fogal
Sunday, 06 February 2005

ARE YOU NEXT?
The Many Levels of Texas Bureaucracy 
By Jordan Fogal
Read more...
 
Homebuilder Money, Binding Arbitration & Using Docotors
Sunday, 06 February 2005
Houston Chronicle
Power tale: Mugging Dr. Welby
By RICK CASEY
A
recent study showing that homebuilders have contributed $9 million to state officials in the past four years raised a simple question.What are they getting for their money? The Austin-based reform organization that conducted the study, Campaigns for People, accused legislators of responding by setting up the Texas Residential Construction Commission... Richard Weekley, a Houston real estate developer (and part owner of his brother's David Weekley Homes), wrote a letter to Gov. Perry...
Read more...
 
Poconos Home Builder Fraud
Sunday, 06 February 2005

Poconos home builder is charged in real estate fraud investigation
District attorney's office says it is looking into six other firms
A day after announcing felony charges against a Poconos home builder, the Monroe County district attorney's office said it's aggressively investigating at least six other builders in a widening probe of real estate fraud.

Read more...
 
Outstanding article from Off the Kuff
Friday, 04 February 2005

Off the Kuff
Building influence
Here's an interesting article from the This Week section of the Chron regarding an acrimonious and public battle between a disgruntled homebuyer named Jordan Fogal and the builder who constructed her house, Tremont Homes... Let's start with the baseless attack on civil juries, something that I've noted before. Just once, I'd like to see a reporter ask someone who offers such an opinion if they hold similar feelings about juries in criminal trials... Attacking juries like this is cynical, dishonest, and really quite insulting, since after all everyone reading this is a potential juror. That this now seems to be a standard talking point for the homebuilding industry certainly doesn't give me any faith in their preferred system of arbitration...But what really gets me is the last quoted sentence. The lawyer for the builders is also an arbitrator for the AAA, which is the group used to rule on these builder/buyer disputes.

Read more...
 
Illinois Attorney General takes action
Tuesday, 01 February 2005
Illinois Attorney General Madigan Seeks Temporary Restraining Order Against Home Repair And Remodeling Company And Owner
31 Consumers Allegedly Bilked For Approximately $2.1 Million
January 28, 2005 -- Chicago – With an avalanche of consumer complaints piling up and at the request of the office of Attorney General Lisa Madigan, Cook County Judge Peter Flynn this afternoon entered a temporary restraining order (TRO) against a Cook County construction and home repair company and its president after they allegedly bilked 31 consumers out of approximately $2.1 million.
Read more...
 
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