Overview
Ashton Woods operates in the Orlando and Tampa metropolitan areas in Florida through Ashton Orlando Residential LLC and related entities. The company builds single-family homes in planned communities across central Florida.
Florida's Right to Repair Act (Chapter 558), implied warranty protections, and the state's consumer protection statutes create a legal framework that affects Ashton Woods' contract provisions. WFTV's Action 9 investigation documented complaints from Florida buyers regarding deposit forfeiture and contract terms.
How Florida Law Affects Your Contract
The following analysis examines how Ashton Woods's documented contract patterns interact with Florida consumer protection law.
Florida Right to Repair Act (Chapter 558)
Florida law requires homeowners to provide written notice and allow the builder an opportunity to inspect and repair before filing suit for construction defects. Ashton Woods receives this statutory right to attempt repair before litigation can proceed.
Florida Implied Warranty of Habitability
Florida recognizes an implied warranty of habitability for new residential construction. Ashton Woods' contractual limitation of implied warranties through its 2-10 Home Buyers Warranty program (HAB-001) may face enforceability challenges under Florida law, particularly for habitability-related defects.
Deposit Forfeiture Under Florida Law
WFTV's Action 9 investigation documented an Orlando buyer who lost a $33,000 deposit after losing her job and failing to qualify for a mortgage. Ashton Woods offered only a future credit toward another home purchase within one year. Florida law permits liquidated damages provisions, but they must be reasonable and not constitute a penalty.
Arbitration and Class Action Waiver
WFTV's investigation confirmed that Ashton Woods' Florida contracts include binding arbitration as the sole dispute resolution mechanism, along with a class action waiver. Florida courts generally enforce these provisions, though the Florida Deceptive and Unfair Trade Practices Act (FDUTPA) claims may still be asserted in arbitration.
Florida 10-Year Statute of Repose
Florida's statute of repose for construction defect claims is 10 years (Fla. Stat. 95.11(3)(c)). Buyers should document defects promptly upon discovery and consult an attorney about the interaction between the statutory repose period and Ashton Woods' contractual limitation provisions.
Florida Legal History
Selected cases and investigations involving Ashton Woods in Florida.
Relevant Florida Laws
Requires a 60-day written notice to the contractor before filing a construction defect lawsuit, giving the builder an opportunity to inspect and offer a repair.
Florida courts recognize an implied warranty that new homes will be habitable and constructed in a workmanlike manner. Contractual waivers of this warranty may be found unenforceable.
Florida maintains one of the most comprehensive building codes in the United States, with particular emphasis on hurricane and wind resistance standards.
Prohibits unfair or deceptive acts in trade or commerce, providing consumers with a cause of action for misleading representations during the home sales process.
Florida Key Facts
- 1Florida courts have found implied warranty of habitability waivers unenforceable in some cases.
- 2Mandatory arbitration is generally enforceable, though specific provisions have been found unconscionable.
- 3Florida's building code is among the most comprehensive in the U.S., particularly for hurricane resistance.
- 4The right-to-repair statute requires 60-day notice before suing for construction defects.
- 5Florida has a 4-year statute of limitations for construction defect claims and a 10-year statute of repose.
- 6Builders in Florida must be licensed under the Construction Industry Licensing Board.
What Florida Buyers Should Know
- Verify the deposit refund policy before signing. The WFTV investigation documented a Florida buyer who lost a $33,000 deposit. Confirm in writing whether your earnest money is refundable under any circumstances, including mortgage denial, job loss, or builder-caused delays.
- Understand the arbitration and class action waiver. Ashton Woods' Florida contracts require binding arbitration and prohibit class action participation. Consult a Florida real estate attorney about the enforceability and implications of these provisions before signing.
- Compare Velocio Mortgage with independent lenders. An Ashton Woods affiliate owns 49% of Velocio Mortgage. Obtain competing loan estimates and verify that all quoted payments include taxes, insurance, and HOA fees at the permanent interest rate.
- Hire an independent home inspector before closing. Given the construction defect litigation in Orange County, request inspections at pre-drywall and pre-closing stages with attention to Florida-specific issues including stucco, moisture intrusion, and roofing systems.
- Use Florida's Chapter 558 notice process strategically. Document all defects thoroughly before sending the required statutory notice. The Right to Repair Act gives Ashton Woods the first opportunity to repair, so detailed documentation strengthens your position.