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Mattamy Homes: Liability Limitation

Contract clause analysis

How Mattamy Homes Uses This Clause

Mattamy Homes purchase agreements have been documented to include limitation of liability / no monetary damages provisions. The contract limits the builder\u2019s liability for consequential and incidental damages. This can prevent buyers from recovering costs for temporary housing, storage, or lost income resulting from construction delays or defects. This clause has been the subject of litigation, including Reserve at Loch Lake HOA v. Mattamy FL LLC.

This provision typically appears within the purchase agreement alongside other terms that may limit buyer remedies.

Mattamy 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

Arbitrators may be bound by the contractual damage limitation, further restricting buyer recovery.

Standard Form Contract

This clause appears in Mattamy 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.

Legal History

The following cases involve Mattamy Homes's use of this clause type.

Reserve at Loch Lake HOA v. Mattamy FL LLC

Seminole County Circuit Court, FL (Case No. filed 06/22/2020) · 2020

The Reserve at Loch Lake HOA in Sanford, Florida alleged damages caused by systemic defects and deficiencies in the development, design, and construction of townhomes and common areas. The association described the defects as violations of design, building, and construction practices, approved architectural plans, industry standards, manufacturer requirements, and governmental codes. The case was designated as a Real Property \u2013 Construction Defect matter and is now closed (source: UniCourt; WTSP).

State-by-State Enforceability

Enforceability of this clause varies by state. The following reflects Mattamy Homes's operating states.

StateStatusNote
FloridaUncertainFlorida law imposes statutory protections for construction defect claims under Chapter 558 that may...
North CarolinaUncertainNorth Carolina recognizes the implied warranty of habitability for new construction and has...
ArizonaUncertainArizona's Purchaser Dwelling Act provides statutory remedies for construction defects that exist...
TexasUncertainTexas courts generally enforce contractual liability limitations but subject them to...

Related Clauses in Mattamy Homes Contracts

This clause often works in combination with other provisions in Mattamy Homes's purchase agreements.

ARB-001Mandatory Arbitration

Arbitrators may be bound by the contractual damage limitation, further restricting buyer recovery.

CLA-001Class Action Waiver

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

HAB-001Habitability Waiver

Together these clauses eliminate both the legal standard (habitability) and the remedy (damages).

WAR-001Warranty Exclusions

The damage cap limits recovery even for items covered by the express warranty.

What Buyers Can Do

  • Understand what damages are excluded. The limitation may cover consequential damages, incidental damages, or all monetary damages beyond the purchase price. The scope of the limitation matters significantly.
  • Ask whether the limitation applies to construction defects. Some liability limitations are drafted broadly enough to encompass defect claims. Clarify whether defect-related damages are capped or excluded.
  • Review the Reserve at Loch Lake HOA case. The Reserve at Loch Lake HOA v. Mattamy FL LLC ruling may be relevant to your situation. If you are buying a Mattamy Homes home in a state with similar legal protections, this precedent could affect the enforceability of this clause.
  • Have the full contract scanned before signing. This clause is often one of several interconnected provisions in Mattamy Homes 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.