criticalHAB-001

Century Communities: Habitability Waiver

Contract clause analysis

How Century Communities Uses This Clause

Century Communities purchase agreements have been documented to include implied warranty of habitability waiver provisions. Production builder purchase agreements in the markets where Century operates commonly require buyers to waive the implied warranty of habitability in favor of a builder-provided limited warranty. Buyers should examine whether the contract replaces common-law warranty protections with narrower express warranties.

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

Disputes about the habitability waiver must be resolved in private arbitration, limiting the buyer's ability to challenge it in open court.

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
TexasNot ApplicableTexas does not recognize a common law implied warranty of habitability for new residential...
ColoradoLikely UnenforceableColorado provides strong statutory protections for new home buyers through the Colorado Construction...
CaliforniaLikely UnenforceableCalifornia provides strong statutory protections for homebuyers through the Right to Repair Act...
ArizonaUncertainArizona recognizes an implied warranty of habitability in new home construction, established in...
NevadaLikely UnenforceableNevada provides robust statutory protections for new home buyers through NRS Chapter 40, which...
FloridaLikely UnenforceableFlorida recognizes an implied warranty of habitability for newly constructed homes, established by...
GeorgiaLikely EnforceableGeorgia's recognition of the implied warranty of habitability in new construction is limited. The...
North CarolinaUncertainNorth Carolina recognizes an implied warranty of habitability in new home construction, established...
South CarolinaLikely UnenforceableSouth Carolina recognizes an implied warranty of habitability for new residential construction, and...
TennesseeUncertainTennessee recognizes an implied warranty of habitability in new home construction, established in...
UtahUncertainUtah recognizes an implied warranty of habitability in new residential construction under Davencourt...
WashingtonLikely UnenforceableWashington recognizes an implied warranty of habitability for new residential construction under...
OregonLikely UnenforceableOregon recognizes an implied warranty of habitability for new residential construction under Yepsen...
IndianaUncertainIndiana recognizes an implied warranty of habitability in new residential construction under Theis...
OhioUncertainOhio recognizes an implied warranty of habitability for new residential construction under Mitchem...
VirginiaUncertainVirginia recognizes an implied warranty of habitability in new residential construction under the...
IdahoUncertainIdaho recognizes an implied warranty of habitability for new residential construction under Tusch...
AlabamaLikely EnforceableAlabama's recognition of the implied warranty of habitability in new construction is limited. While...

Related Clauses in Century Communities Contracts

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

ARB-001Mandatory Arbitration

Disputes about the habitability waiver must be resolved in private arbitration, limiting the buyer's ability to challenge it in open court.

CLA-001Class Action Waiver

Prevents homeowners from jointly challenging habitability issues, forcing individual claims.

WAR-001Warranty Exclusions

The express warranty may be the buyer's only remedy if the habitability waiver is enforced, and warranty exclusions further narrow coverage.

DAM-001Liability Limitation

The liability cap reinforces the habitability waiver by capping damages even if the waiver is struck down.

What Buyers Can Do

  • Check whether your state protects the implied warranty of habitability. In states with strong implied warranty protections, the waiver may not hold up in court. Your rights depend heavily on where the home is located.
  • Request that the waiver be struck from the contract. Century Communities may decline, but making the request in writing creates a record that you did not voluntarily agree to the waiver.
  • 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.