How Ivory Homes Uses This Clause
Ivory Homes purchase agreements have been documented to include class action waiver provisions. Buyers waive the right to join or participate in class action lawsuits against the builder, forcing individual claims. This means that even if many homeowners experience the same defect or contract issue, each must pursue their claim separately.
This provision typically appears within the purchase agreement alongside the mandatory arbitration clause. Together, these clauses ensure that all disputes are handled individually in private proceedings rather than collectively in court.
As Utah's largest homebuilder, Ivory Homes uses standardized contract templates across its developments. A clause identified in one community's contract is likely present in other communities' contracts.
Builder-Specific Details
Combined with Mandatory Arbitration
The class action waiver and arbitration clause work together to ensure all disputes are handled individually in private proceedings.
Utah-Only Operations
Ivory Homes operates exclusively in Utah. The enforceability of class action waivers in Utah depends on the specific circumstances and whether the waiver is found to be unconscionable.
Standard Form Contract
This clause appears in Ivory Homes' standard purchase agreement, which is generally presented on a take-it-or-leave-it basis.
Legal History
The following cases involve Ivory Homes's use of this clause type.
Ivory Homes Construction Defect Claims (Utah)
Construction defect claims involving Ivory Homes in Utah state courts have included challenges to class action waiver provisions. The enforceability of these waivers depends on the specific contractual language and circumstances.
State-by-State Enforceability
Enforceability of this clause varies by state. The following reflects Ivory Homes's operating states.
| State | Status | Note |
|---|---|---|
| Utah | Likely Enforceable | Utah courts generally enforce class action waivers, particularly when combined with mandatory arbitration clauses. The U.S. Supreme Court's holding in AT&T Mobility v. Concepcion supports the enforceability of class action waivers in arbitration agreements. However, provisions that are unconscionable under the specific circumstances may be challenged. |
Related Clauses in Ivory Homes Contracts
This clause often works in combination with other provisions in Ivory Homes's purchase agreements.
The class action waiver and arbitration clause work together to ensure all disputes are handled individually in private proceedings.
Prevents homeowners from jointly challenging habitability issues, forcing individual claims.
Warranty disputes must be pursued individually, making it harder to challenge systematic warranty denials.
What Buyers Can Do
- Understand how the class action waiver limits your options. Without the ability to join a class action, you must pursue any claim individually. This can make it economically impractical to challenge low-dollar-value issues that affect many homeowners.
- Document issues shared with other homeowners. Even if a class action is not available, documenting that the same issue affects multiple homes can strengthen an individual claim and may support a pattern-of-defect argument.
- Request removal of the class action waiver. Ivory Homes may decline, but making the request in writing creates a record of your objection.
- Have the full contract scanned before signing. This clause is often one of several interconnected provisions in Ivory Homes contracts that collectively limit buyer remedies. A contract scan can identify all of them.