How LGI Homes Uses This Clause
LGI Homes purchase agreements have been documented to include implied warranty of habitability waiver provisions. LGI contracts may include language waiving the implied warranty of habitability, which is the legal guarantee that a home is safe and livable. This removes one of the most fundamental protections a homebuyer has against defective construction.
This provision typically appears within the purchase agreement alongside other terms that may limit buyer remedies.
LGI Homes'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.
Standard Form Contract
This clause appears in LGI Homes'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 LGI Homes's operating states.
| State | Status | Note |
|---|---|---|
| Texas | Not Applicable | Texas does not recognize a common law implied warranty of habitability for new residential... |
| Florida | Likely Unenforceable | Florida recognizes an implied warranty of habitability for newly constructed homes, established by... |
| Georgia | Likely Enforceable | Georgia's recognition of the implied warranty of habitability in new construction is limited. The... |
| North Carolina | Uncertain | North Carolina recognizes an implied warranty of habitability in new home construction, established... |
| South Carolina | Likely Unenforceable | South Carolina recognizes an implied warranty of habitability for new residential construction, and... |
| Arizona | Uncertain | Arizona recognizes an implied warranty of habitability in new home construction, established in... |
| Nevada | Likely Unenforceable | Nevada provides robust statutory protections for new home buyers through NRS Chapter 40, which... |
| Colorado | Likely Unenforceable | Colorado provides strong statutory protections for new home buyers through the Colorado Construction... |
| Alabama | Likely Enforceable | Alabama's recognition of the implied warranty of habitability in new construction is limited. While... |
| Tennessee | Uncertain | Tennessee recognizes an implied warranty of habitability in new home construction, established in... |
| Virginia | Uncertain | Virginia recognizes an implied warranty of habitability in new residential construction under the... |
| Ohio | Uncertain | Ohio recognizes an implied warranty of habitability for new residential construction under Mitchem... |
| Pennsylvania | Likely Unenforceable | Pennsylvania recognizes a strong implied warranty of habitability for new residential construction... |
| New Jersey | Likely Unenforceable | New Jersey provides strong protections for new home buyers through the New Home Warranty and... |
| Minnesota | Likely Unenforceable | Minnesota recognizes a strong implied warranty of habitability for new residential construction... |
| Oregon | Likely Unenforceable | Oregon recognizes an implied warranty of habitability for new residential construction under Yepsen... |
| Washington | Likely Unenforceable | Washington recognizes an implied warranty of habitability for new residential construction under... |
| California | Likely Unenforceable | California provides strong statutory protections for homebuyers through the Right to Repair Act... |
| Maryland | Likely Unenforceable | Maryland provides strong implied warranty protections for new home buyers. The Maryland Court of... |
Related Clauses in LGI Homes Contracts
This clause often works in combination with other provisions in LGI Homes's purchase agreements.
Disputes about the habitability waiver must be resolved in private arbitration, limiting the buyer's ability to challenge it in open court.
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. LGI Homes 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 LGI Homes contracts that collectively limit buyer remedies. A contract scan can identify all of them.