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Bill violated the state constitution by setting limits on damages for defective workmanship
Sunday, 19 March 2006
Rendell nixes home-builder resolution bill
Gov. Rendell vetoed a bill yesterday..."I believe this bill has the potential to cause both parties to become more involved in litigation, requiring them to pay unnecessary legal bills and, ultimately, driving up the cost of builders' insurance and new homes," he said in a statement... Attorney General Tom Corbett, who said this week in a letter to Rendell that he thought the bill was unconstitutional. Corbett said the bill violated the state constitution by setting limits on damages for defective workmanship and intruded on the authority of the Pennsylvania Supreme Court.
 
The Philadelphia Inquirer

Rendell nixes home-builder resolution bill

By Bob Fernandez
Inquirer Staff Writer

Gov. Rendell vetoed a bill yesterday that its supporters said was intended to help building contractors and homeowners resolve disputes over defective workmanship without resorting to lawsuits.

Rendell, citing an opinion from the state's attorney general, expressed concerns about the bill's constitutionality, and said he feared it would complicate dispute resolution.

"I believe this bill has the potential to cause both parties to become more involved in litigation, requiring them to pay unnecessary legal bills and, ultimately, driving up the cost of builders' insurance and new homes," he said in a statement.

The Pennsylvania Builders Association said it was "extremely disappointed" in the veto.

"This decision hurts not just home builders across the state, but also new homeowners who have lost a helpful alternative to costly and time-consuming lawsuits," Brad Elliott, president of the group, said in a statement.

The group, which has 11,000 members, had worked for about two years on the bill. The bill's provisions were similar to those in bills passed in 27 other states in the last several years. The bill addressed workmanship in both new homes and renovations.

Opponents, including Jim Kenney, a Philadelphia city councilman, and Lance Haver, the city's director of consumer affairs, said the bill would make it harder for many consumers to win a fair resolution of disputes and failed to address other concerns, such as establishing a statewide registry or licensing procedure for building contractors.

Some of the most pointed criticism came from Attorney General Tom Corbett, who said this week in a letter to Rendell that he thought the bill was unconstitutional.

Corbett said the bill violated the state constitution by setting limits on damages for defective workmanship and intruded on the authority of the Pennsylvania Supreme Court. Corbett's opinion was not binding, but Rendell said it played a role in his veto decision.

Scott Elliott, spokesman for the builders' association, said the group had sought opinions from three separate law firms, which did not believe the bill violated the state constitution.

"We wish the governor would have signed the bill and that it would be tested in the courts," Scott Elliott said.

 
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