Overview
Ashton Woods operates in the Charleston metropolitan area in South Carolina, building single-family homes in planned communities in the Lowcountry region.
South Carolina's Right to Cure Act and eight-year statute of repose govern construction defect claims. South Carolina courts have addressed unconscionable builder contract provisions in recent litigation involving other builders, establishing precedent that may affect the enforceability of Ashton Woods' contract terms.
How South Carolina Law Affects Your Contract
The following analysis examines how Ashton Woods's documented contract patterns interact with South Carolina consumer protection law.
South Carolina Right to Cure Act (S.C. Code 40-59-850 et seq.)
South Carolina's Right to Cure Act requires homeowners to provide written notice to the builder before filing suit for construction defects. The builder has the right to inspect and offer to repair. This statutory process governs the pre-litigation phase for Ashton Woods buyers in the state.
South Carolina Implied Warranty of Habitability
South Carolina recognizes an implied warranty of habitability for new residential construction. Ashton Woods' contractual limitation of implied warranties through its 2-10 HBW program may face enforceability challenges, particularly given recent South Carolina court rulings finding builder contract provisions unconscionable.
8-Year Statute of Repose
South Carolina's statute of repose for construction defect claims is eight years from substantial completion (S.C. Code 15-3-640). Buyers should document and report defects well within this window.
Arbitration Enforceability in South Carolina
South Carolina courts enforce arbitration agreements but have scrutinized one-sided provisions. Ashton Woods' mandatory arbitration clause (ARB-001) is generally enforceable, but South Carolina's Unfair Trade Practices Act (S.C. Code 39-5-10 et seq.) claims may be asserted in arbitration.
South Carolina Legal History
No state-specific litigation involving Ashton Woods in South Carolina has been identified in public records as of this writing.
Relevant South Carolina Laws
South Carolina courts recognize an implied warranty of habitability for new construction. The South Carolina Supreme Court has held that contractual waivers of this warranty may be unconscionable.
Prohibits unfair or deceptive acts in trade or commerce, with potential for treble damages and attorney fees.
Requires homeowners to provide written notice to the builder and allow an opportunity to inspect and offer a repair before filing a construction defect lawsuit.
South Carolina Key Facts
- 1The South Carolina Supreme Court found habitability waiver clauses unconscionable in Smith v. D.R. Horton (2016).
- 2South Carolina's right-to-repair statute requires written notice before filing a construction defect lawsuit.
- 3Mandatory arbitration clauses have been found unconscionable in some South Carolina cases involving national builders.
- 4South Carolina has a statute of repose of 8 years for construction defect claims.
- 5The Residential Builders Commission licenses and regulates residential builders in South Carolina.
- 6South Carolina courts apply a totality-of-the-circumstances test for unconscionability of contract provisions.
What South Carolina Buyers Should Know
- Know that South Carolina recognizes implied warranty protections. South Carolina courts recognize an implied warranty of habitability for new construction. Contractual limitations may face enforceability challenges under state law.
- Understand the Right to Cure Act notice requirement. South Carolina law requires written notice to the builder before filing suit for construction defects. Document all defects thoroughly before initiating the statutory process.
- Compare Velocio Mortgage with independent lenders. An Ashton Woods affiliate owns 49% of Velocio Mortgage. Obtain competing quotes and compare total loan costs before committing to the affiliated lender.
- Hire an independent home inspector before closing. Given the Lowcountry's moisture-intensive climate, pay particular attention to drainage, moisture barriers, and building envelope integrity during independent inspections.