How Toll Brothers Uses This Clause
Toll Brothers purchase agreements have been documented to include restrictive limited warranty exclusions provisions. Toll Brothers provides a one-year warranty on materials and workmanship, a two-year warranty on systems, and a ten-year warranty on structural elements. However, the structural warranty explicitly excludes exterior wall cladding (brick, stucco, siding) and only covers load-bearing failures that render the home unsafe. The warranty states it is the sole and exclusive remedy, and buyers waive the right to seek damages except as provided in the warranty. This clause has been the subject of litigation, including Jupiter Country Club Construction Defect Litigation.
This provision typically appears within the purchase agreement alongside other terms that may limit buyer remedies. Because Toll Brothers operates across multiple states, the enforceability and practical impact of this clause varies depending on where the home is located.
As a builder operating in the upper price segments, Toll Brothers buyers may have somewhat more leverage to negotiate contract terms compared to entry-level buyers. However, the presence of this clause in standard purchase agreements means buyers should review it carefully regardless of price point.
Builder-Specific Details
Combined with Warranty Voiding
Warranty exclusions narrow coverage while third-party administration adds procedural barriers to filing claims.
Standardized Across Markets
Toll Brothers'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.
Negotiation Potential
Toll Brothers operates in higher price segments where buyers may have more leverage to negotiate individual contract terms. While the clause appears in standard templates, buyers of custom or semi-custom homes may have more room to request modifications.
Legal History
The following cases involve Toll Brothers's use of this clause type.
Jupiter Country Club Construction Defect Litigation
Three lawsuits filed by the Jupiter Country Club HOA, two condominium associations, and FedNat Insurance alleged construction defects at the luxury golf community. An engineering report found defective balconies and stucco walls, cracked baseboards and drywall, improperly installed insulation, and the presence of radon gas. The HOA also alleged Toll Brothers did not properly manage the community or provide a required audit at turnover.
Kozikowski v. Toll Bros., Inc.
Buyers of a luxury home in Franklin, Massachusetts, brought claims for deceit and breach of express warranty after a town building inspection revealed eighteen building code violations. The First Circuit affirmed summary judgment for Toll Brothers on statute of limitations grounds, though the case documented allegations of persistent code violations spanning years.
Pennsylvania Construction Defect Appeals
The Pennsylvania Supreme Court denied a petition from Toll Brothers to hear a consolidated appeal in more than two dozen construction defect lawsuits. The rulings in favor of homeowners in the Pennsylvania Superior Court and the Philadelphia Court of Common Pleas were left standing, including a determination that secondary homeowners could pursue claims through the court system rather than mandatory arbitration.
State-by-State Enforceability
Enforceability of this clause varies by state. The following reflects Toll Brothers's operating states.
| State | Status | Note |
|---|---|---|
| California | Uncertain | Warranty exclusion clauses in California new construction contracts face significant limitations.... |
| Texas | Likely Enforceable | Express warranty exclusion clauses in Texas new construction contracts are generally enforceable.... |
| Florida | Likely Enforceable | Express warranty exclusion clauses in Florida new construction contracts are generally enforceable.... |
| Arizona | Likely Enforceable | Express warranty exclusion clauses in Arizona new construction contracts are generally enforceable.... |
| Colorado | Uncertain | Warranty exclusion clauses in Colorado new construction contracts face notable constraints.... |
| Nevada | Uncertain | Warranty exclusion clauses in Nevada new construction contracts face significant statutory... |
| Virginia | Likely Enforceable | Express warranty exclusion clauses in Virginia new construction contracts are generally enforceable.... |
| Maryland | Uncertain | Warranty exclusion clauses in Maryland new construction contracts face notable constraints. The... |
| Pennsylvania | Likely Enforceable | Express warranty exclusion clauses in Pennsylvania new construction contracts are generally... |
| New Jersey | Uncertain | Warranty exclusion clauses in New Jersey new construction contracts face significant statutory... |
| New York | Uncertain | Warranty exclusion clauses in New York new construction contracts face significant statutory... |
| Connecticut | Uncertain | Warranty exclusion clauses in Connecticut new construction contracts face notable constraints.... |
| North Carolina | Likely Enforceable | Express warranty exclusion clauses in North Carolina new construction contracts are generally... |
| South Carolina | Likely Enforceable | Express warranty exclusion clauses in South Carolina new construction contracts are generally... |
| Georgia | Likely Enforceable | Express warranty exclusion clauses in Georgia new construction contracts are generally enforceable.... |
| Tennessee | Likely Enforceable | Express warranty exclusion clauses in Tennessee new construction contracts are generally... |
| Idaho | Likely Enforceable | Express warranty exclusion clauses in Idaho new construction contracts are generally enforceable.... |
| Washington | Uncertain | Warranty exclusion clauses in Washington new construction contracts face notable constraints.... |
| Utah | Likely Enforceable | Express warranty exclusion clauses in Utah new construction contracts are generally enforceable.... |
| Michigan | Likely Enforceable | Express warranty exclusion clauses in Michigan new construction contracts are generally enforceable.... |
| Illinois | Uncertain | Warranty exclusion clauses in Illinois new construction contracts face notable constraints. Illinois... |
| Delaware | Likely Enforceable | Express warranty exclusion clauses in Delaware new construction contracts are generally enforceable.... |
Related Clauses in Toll Brothers Contracts
This clause often works in combination with other provisions in Toll Brothers's purchase agreements.
Warranty exclusions narrow coverage while third-party administration adds procedural barriers to filing claims.
Even warranty-covered items may be subject to the overall damage limitation.
Substituted materials may not be covered under the same warranty terms as originally specified materials.
Without independent inspection, defects may go undiscovered until after warranty exclusion periods expire.
What Buyers Can Do
- Read the warranty exclusion list carefully. The exclusions may cover common issues like cosmetic defects, drainage problems, HVAC performance, and landscaping. Know what is not covered before you close.
- Understand warranty durations by category. Structural warranties may last 10 years, systems warranties 2 years, and cosmetic warranties just 1 year. Each category has different coverage and exclusions.
- Review the Jupiter Country Club Construction Defect Litigation case. The Jupiter Country Club Construction Defect Litigation ruling may be relevant to your situation. If you are buying a Toll Brothers 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 Toll Brothers contracts that collectively limit buyer remedies. A contract scan can identify all of them.