Likely Enforceable

Warranty Exclusions in South Carolina

State-specific enforceability analysis

Enforceability Status

Likely Enforceable

Express warranty exclusion clauses in South Carolina new construction contracts are generally enforceable. South Carolina's Right to Cure Act (S.C. Code section 40-59-840 et seq.) establishes a pre-litigation process for residential construction defect claims. South Carolina courts recognize an implied warranty of habitability but permit builders to limit its scope through express warranty terms.

Legal Analysis

South Carolina's Right to Cure Act (S.C. Code § 40-59-840 et seq.) requires homeowners to provide written notice to the builder at least 90 days before filing a construction defect lawsuit. The builder has an opportunity to inspect, offer repairs, or make a settlement offer during this period. This mandatory process applies regardless of the builder's express warranty terms.

South Carolina courts recognize an implied warranty of habitability in new home construction. In Lane v. Trenholm Building Co. (1954), the South Carolina Supreme Court established that builders of new homes impliedly warrant that the home is suitable for habitation. However, subsequent decisions have permitted builders to limit the scope of this warranty through express contractual terms.

Under South Carolina's adoption of the UCC (S.C. Code Title 36, Art. 2), sellers may exclude or modify implied warranties through conspicuous language. For new home construction, builders commonly provide tiered express warranties that define specific coverage periods and exclusions for various building components.

S.C. Code section 40-59-860 establishes a statute of limitations for construction defect claims of three years from the date of discovery or the date the defect should have been discovered. The statute of repose is eight years from substantial completion of the improvement.

Relevant South Carolina Law

South Carolina Right to Cure Act
S.C. Code § 40-59-840 et seq.

Requires a 90-day pre-litigation notice and cure process for residential construction defect claims before filing suit.

South Carolina Statute of Repose
S.C. Code § 15-3-640

Establishes an eight-year statute of repose for claims arising from improvements to real property.

South Carolina UCC - Warranty Provisions
S.C. Code Title 36, Art. 2

Governs express and implied warranties in sales transactions, including provisions for exclusion and modification of warranties.

Related Cases

The South Carolina Supreme Court recognized an implied warranty of habitability in new home construction, establishing that builders warrant their homes are suitable for habitation.

Builders in South Carolina Using This Clause

SC
SC
SC
SC
SC
SC
SC
SC
SC
SC
SC
SC
SC
SC
SC

What South Carolina Buyers Should Know

  • Follow the 90-Day Right to Cure Process South Carolina law requires at least 90 days' written notice to the builder before filing a construction defect lawsuit. Failure to follow this process can result in dismissal of your claim.
  • Understand the Implied Warranty of Habitability South Carolina recognizes an implied warranty that new homes are suitable for habitation. While builders may limit this warranty through express terms, it provides a baseline of protection for serious habitability issues.
  • Know the Statute of Repose South Carolina imposes an eight-year statute of repose from substantial completion for construction defect claims. Even if the builder's express warranty expires sooner, you may have rights within this statutory period.
  • Document Climate-Related Issues Promptly South Carolina builder warranties commonly exclude damage from humidity, moisture, and weather events. Document and report any issues promptly, as the three-year discovery statute of limitations begins when you knew or should have known of the defect.
Related Resources
Read the full Warranty Exclusions explainer Read the South Carolina new construction guide Scan your contract — $49

Buying a new home in South Carolina?

Scan your contract at fineprint.homes — $49

Scan Your Contract
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.