Enforceability Status
Express warranty exclusion clauses in Pennsylvania new construction contracts are generally enforceable. Pennsylvania does not have a comprehensive residential construction defect statute with mandatory warranty minimums. Warranty claims are governed by general contract law, the UCC (13 Pa.C.S. Ch. 2), and the twelve-year statute of repose for improvements to real property (42 Pa.C.S. section 5536).
Legal Analysis
Pennsylvania law permits builders to define the scope of express warranties in residential construction contracts. Under 13 Pa.C.S. section 2316, sellers may exclude or modify implied warranties through conspicuous disclaimer language. Pennsylvania courts enforce warranty limitations that are clearly stated and agreed to by the parties.
Pennsylvania courts recognize an implied warranty of habitability in new home construction. In Elderkin v. Gaster (1972), the Pennsylvania Supreme Court held that builders of new homes impliedly warrant that the home is constructed in a workmanlike manner and suitable for habitation. The court rejected the doctrine of caveat emptor in new home sales.
Pennsylvania's statute of repose for improvements to real property (42 Pa.C.S. § 5536) provides a twelve-year outer limit for construction defect claims from delivery of the improvement. This is one of the longest statutes of repose in the country, providing an extended window for claims.
The Pennsylvania Unfair Trade Practices and Consumer Protection Law (73 P.S. § 201-1 et seq.) prohibits unfair or deceptive acts in consumer transactions. Misleading warranty representations may give rise to claims under this statute, which provides for treble damages.
Relevant Pennsylvania Law
Establishes a twelve-year statute of repose for claims arising from improvements to real property, one of the longest in the nation.
Prohibits unfair or deceptive acts in consumer transactions, providing treble damages for violations.
Governs express and implied warranties in sales transactions, including provisions for exclusion and modification of warranties.
Related Cases
The Pennsylvania Supreme Court recognized an implied warranty of habitability in new home construction, rejecting caveat emptor and holding that builders warrant their homes are fit for habitation.
Builders in Pennsylvania Using This Clause
What Pennsylvania Buyers Should Know
- Understand the Implied Warranty of Habitability Pennsylvania recognizes an implied warranty that new homes are fit for habitation. This implied warranty may provide rights for serious defects beyond what the builder's express warranty covers.
- Note the Twelve-Year Statute of Repose Pennsylvania's twelve-year statute of repose is one of the longest in the nation, providing a substantial window for construction defect claims beyond the builder's express warranty period.
- Consider Consumer Protection Remedies If warranty exclusions were presented in a misleading manner, the Pennsylvania Unfair Trade Practices and Consumer Protection Law may provide treble damages as a remedy.
- Review Cold-Climate Exclusions Pennsylvania builder warranties commonly exclude damage from freeze-thaw cycles, ice damming, condensation, settling, and homeowner modifications. Understand these exclusions given Pennsylvania's climate.