Minnesota Moves Consumer Bills |
Monday, 03 April 2006 |
New home warranty bill advances ...fix a loophole in the law that allows builders' corporations to dissolve before the statutory 10 year new home warranty runs out and escape terms of the warranty...the awarding of reasonable attorney fees and costs in litigation relating to new home warranties.
New home warranty bill advancesAt the beginning of the Tues., Mar. 28, Judiciary Committee, Chairman Don Betzold (DFL-Fridley), announced because it was deadline day, members had to complete the lengthy agenda during the panel's allotted time, or the bills would be dead for the session. The panel buckled down immediately and managed to clear 13 bills from the agenda. S.F. 3234, sponsored by Sen. Ellen Anderson (DFL-St. Paul), regulates statutory housing warranties. Anderson said the bill attempts to fix a loophole in the law that allows builders' corporations to dissolve before the statutory 10 year new home warranty runs out and escape terms of the warranty. The bill was amended to specify that insurance purchased by the builder is still in force, even if the builder's corporation is dissolved. In addition, the bill specifies that the warranties are unaffected if the builder's corporation dissolves.
S.F. 3263, sponsored by Sen. Lawrence Pogemiller (DFL-Mpls.), provides for the awarding of reasonable attorney fees and costs in litigation relating to new home warranties. The bill was also advanced to the floor. |