HomeLatest NewsFeatured HomebuildersHome Buyer ResourcesBinding ArbitrationResource LinksSubmit ComplaintsView ComplaintsTake Action 101!Report Mortgage FraudMortgage Fraud NewsForeclosure NewsConstruction DefectsHome DefectsPhoto GalleryFoundation ProblemsHomeowner Website LinksHOA Reform
Main Menu
Home
Latest News
Featured Homebuilders
Home Buyer Resources
Binding Arbitration
Resource Links
Submit Complaints
View Complaints
Take Action 101!
Report Mortgage Fraud
Mortgage Fraud News
Foreclosure News
Construction Defects
Home Defects
Photo Gallery
Foundation Problems
Homeowner Website Links
HOA Reform
Featured Topics
Builder Death Spiral
Report Mortgage Fraud
Foreclosure Special Report
Mold & New Home Guide
Special News Reports
Centex & Habitability
How Fast Can They Build Them?
TRCC Editorial
Texas TRCC Scandal
Texas Watch - Tell Lawmakers
TRCC Recommendations
Sandra Bullock
People's Lawyer
Prevent Nightmare Homes
Choice Homes
Smart Money
Weekly Update Message
HOBB Archives
About HOBB
Contact Us
Fair Use Notice
Legislative Work
Your House

 HOBB News Alerts
and Updates

Click Here to Subscribe

Support HOBB - Become a Sustaining Member
Who's Online
ABC Special Report
Investigation: New Home Heartbreak
Trump - NAHB Homebuilders Shoddy Construction and Forced Arbitration
AARP Reports: Pennsylvania to regulate Builder Arbitration
Thursday, 27 September 2007

Pennsylvania Moves to Regulate Home Building Arbitration Contracts
The Pennsylvania House of Representatives is considering legislation that would set conditions for the enforcement of pre-dispute arbitration agreements in contracts between home builders and customers, and make a failure to comply grounds for a court to void the clause... The bill would make a home construction contract voidable by the consumer if it has any of the following types of clauses, a clause purporting to waive a customer's right to a jury trial, an agreement not to assert any customer claims or defenses arising out of the contract, a provision authorizing a homebuilder to recovery attorney's fees and costs from the customer...

Pennsylvania Moves to Regulate Home Building Arbitration Contracts

By Justin Kelly, ADRWorld.com

(9.14.2007) The Pennsylvania House of Representatives is considering legislation that would set conditions for the enforcement of pre-dispute arbitration agreements in contracts between home builders and customers, and make a failure to comply grounds for a court to void the clause.

H.B. 1821, "the New Home Construction Consumer Protection Act," introduced Sept. 4, establishes procedures that homebuilders must follow in building and dealing with customers.

Section 8(d) provides that an arbitration clause in a home construction contract must meet the following requirements: It must be written in capital letters in 12-point boldface type; it must be on a page separate from the overall contract. It must include a separate line for each of the parties to the contract to sign, indicating intent to be bound by its provisions.

It must state clearly whether the award is binding on the parties or may be appealed. And it must make it clear to the customer whether the dispute, related documents and the award would be kept confidential.

Section 8(d) further provides that an arbitration clause that does not satisfy these requirements or is not signed by both parties may be deemed void by a court if a party brings a motion "prior to the commencement of arbitration."

This provision also makes clear that nothing in the bill is intended to affect a court's ability to set aside an arbitration clause on any ground allowed by Pennsylvania law.

In addition, Section 8(e) of the bill would make a home construction contract voidable by the consumer if it has any of the following types of clauses:

• a clause purporting to waive a customer's right to a jury trial,

• an agreement not to assert any customer claims or defenses arising out of the contract,

• a provision authorizing a homebuilder to recovery attorney's fees and costs from the customer, or

• a clause waiving any customer rights under the provisions of the bill.

Deborah M. Zuckerman

Senior Attorney

AARP Foundation Litigation

601 E Street, N.W.

Washington , D.C.   20049

(202) 434-6045

(202) 434-6424 (fax)

 
< Prev   Next >
Search HOBB.org

Reckless Endangerment
BY: GRETCHEN MORGENSON
and JOSHUA ROSNER

Outsized Ambition, Greed and
Corruption Led to
Economic Armageddon


Amazon
Barnes & Noble

NPR Special Report
Part I Listen Now
Perry Home - No Warranty 
Part II Listen Now
Texas Favors Builders

Washington Post
The housing bubble, in four chapters
BusinessWeek Special Reports
Bonfire of the Builders
Homebuilders helped fuel the housing crisis
Housing: That Sinking Feeling

Consumer Affairs Builder Complaints

IS YOUR STATE NEXT?
As Goes Texas So Goes the Nation
Knowledge and Financial Responsibility are still Optional for Texas Home Builders

OUTSTANDING FOX4 REPORT
TRCC from Bad to Worse
Case of the Crooked House

TRCC AN ARRESTING EXPERIENCE
The Pat and Bob Egert Building & TRCC Experience 

Build it right the first time
An interview with Janet Ahmad

Bad Binding Arbitration Experience?
This e-mail address is being protected from spam bots, you need JavaScript enabled to view it
or call 1-210-402-6800

top of page

© 2022 HomeOwners for Better Building
Joomla! is Free Software released under the GNU/GPL License.