criticalCLA-001

Century Communities: Class Action Waiver

Contract clause analysis

How Century Communities Uses This Clause

Century Communities purchase agreements have been documented to include class action lawsuit waiver provisions. The arbitration framework effectively prevents buyers from joining class action lawsuits, requiring each dispute to be resolved individually. This prevents homeowners in a community from pooling resources to address systematic defects. (Source: Century Communities Terms of Use)

This provision typically appears within the purchase agreement alongside other terms that may limit buyer remedies. Because Century Communities operates across multiple states, the enforceability and practical impact of this clause varies depending on where the home is located.

Century Communities's scale means contract templates are largely standardized across its operations. A clause identified in one market's contract is likely present in other markets' contracts, though local addenda may modify the terms.

Builder-Specific Details

Combined with Mandatory Arbitration

Combined with mandatory arbitration, buyers cannot pursue class relief in any forum.

Standardized Across Markets

Century Communities's scale means contract templates are largely standardized across its operations. This clause identified in one state's contract is likely present in other states' contracts, though local addenda may modify the terms.

Standard Form Contract

This clause appears in Century Communities's standard purchase agreement, which is generally presented on a take-it-or-leave-it basis. Buyers typically have limited ability to negotiate individual terms, though making the request in writing is still advisable.

State-by-State Enforceability

Enforceability of this clause varies by state. The following reflects Century Communities's operating states.

StateStatusNote
TexasLikely EnforceableClass action waivers in Texas new construction contracts are likely enforceable, particularly when...
ColoradoLikely EnforceableClass action waivers in Colorado new construction contracts are likely enforceable when paired with...
CaliforniaLikely EnforceableClass action waivers in California new construction contracts are likely enforceable when paired...
ArizonaLikely EnforceableClass action waivers in Arizona new construction contracts are likely enforceable, particularly when...
NevadaLikely EnforceableClass action waivers in Nevada new construction contracts are likely enforceable when included in...
FloridaLikely EnforceableClass action waivers in Florida new construction contracts are likely enforceable when included in...
GeorgiaLikely EnforceableClass action waivers in Georgia new construction contracts are likely enforceable, particularly when...
North CarolinaLikely EnforceableClass action waivers in North Carolina new construction contracts are likely enforceable when paired...
South CarolinaLikely EnforceableClass action waivers in South Carolina new construction contracts are likely enforceable when paired...
TennesseeLikely EnforceableClass action waivers in Tennessee new construction contracts are likely enforceable when paired with...
UtahLikely EnforceableClass action waivers in Utah new construction contracts are likely enforceable when paired with...
WashingtonLikely EnforceableClass action waivers in Washington new construction contracts are likely enforceable when paired...
OregonLikely EnforceableClass action waivers in Oregon new construction contracts are likely enforceable when paired with...
IndianaLikely EnforceableClass action waivers in Indiana new construction contracts are likely enforceable when included in...
OhioLikely EnforceableClass action waivers in Ohio new construction contracts are likely enforceable when included in...
VirginiaLikely EnforceableClass action waivers in Virginia new construction contracts are likely enforceable when paired with...
IdahoLikely EnforceableClass action waivers in Idaho new construction contracts are likely enforceable when paired with...
AlabamaLikely EnforceableClass action waivers in Alabama new construction contracts are likely enforceable when paired with...

Related Clauses in Century Communities Contracts

This clause often works in combination with other provisions in Century Communities's purchase agreements.

ARB-001Mandatory Arbitration

Combined with mandatory arbitration, buyers cannot pursue class relief in any forum.

HAB-001Habitability Waiver

Homeowners with similar habitability defects cannot combine their claims into a single action.

DAM-001Liability Limitation

Individual claims under the liability cap may be too small to pursue, and class aggregation is prohibited.

What Buyers Can Do

  • Understand what the class action waiver means for community-wide issues. If multiple homes in your community have the same defect, this clause prevents you from joining together to pursue a shared claim. Each buyer must pursue their claim individually.
  • Document everything from the start. If you cannot join a class action, your individual claim must stand on its own. Thorough documentation from before and after closing strengthens your position.
  • Have the full contract scanned before signing. This clause is often one of several interconnected provisions in Century Communities contracts that collectively limit buyer remedies. A contract scan can identify all of them.
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This article is for informational and educational purposes only. It does not constitute legal advice. Consult a licensed attorney in your state before making legal decisions.