TO AMEND ARKANSAS LAW CONCERNING CLAIMS AGAINST HOME IMPROVEMENT CONTRACTORS, RESIDENTIAL BUILDING CONTRACTORS, AND SUPPLIERS.

2025 Regular Session Introduced by Josh Bryant and 3 co-sponsors

Act 558 establishes a clear process for homeowners to address construction defects, enhancing consumer protection and ensuring contractor accountability in Arkansas.

Notification that HB1468 is now Act 558

Purpose and Intent

House Bill 1468, now known as Act 558, amends Arkansas law concerning claims against home improvement contractors, residential building contractors, and suppliers. The primary goal of this legislation is to establish a clear process for addressing construction defects in residential properties, thereby enhancing consumer protection and ensuring accountability among contractors and suppliers.

Key Provisions

The bill introduces a new subchapter (Subchapter 15) to Arkansas Code Title 4, Chapter 75, which includes the following key provisions:

Definitions

Claim: A request to remedy a construction defect caused by a contractor or supplier.

Claimant: The owner, tenant, or lessee of a dwelling with the right to sue for construction defects.

Construction Defect: Includes deficiencies due to defective materials, code violations, or failure to adhere to accepted construction standards.

Home Improvement Contractor: Any entity involved in the reconstruction or improvement of a single-family residence.

Supplier: A person or entity that provides materials such as windows or doors for a dwelling.

Claims Process

Notice Requirement: Claimants must provide written notice to the contractor or supplier at least 28 days before initiating legal action. This notice must detail the nature of the alleged defect.

Response Time: Contractors or suppliers have 14 days to respond to the notice, with options to inspect the property, remedy the defect, or dispute the claim.

Opportunity to Remedy: If a contractor offers to remedy the defect, the claimant must accept or reject the offer within 30 days.

Legal Action: If the contractor disputes the claim, fails to respond, or does not fulfill an accepted offer, the claimant may proceed with legal action without further notice.

Consumer Protections

If a claimant accepts a contractor's offer to remedy a defect and the contractor fulfills the offer, the claimant is barred from pursuing further legal action regarding that claim.

Contractors are required to inform homeowners of these legal requirements before commencing any work.

Exemptions

The provisions of this bill do not apply to actions initiated by the Attorney General for civil enforcement of the Deceptive Trade Practices Act.

Impact

This legislation is expected to:
- Enhance Consumer Protection: By establishing a formal process for addressing construction defects, homeowners will have clearer avenues for recourse.
- Encourage Resolution: The requirement for contractors to respond to claims may lead to more amicable resolutions before legal action is necessary.
- Clarify Responsibilities: By defining roles and responsibilities, the bill aims to reduce disputes and misunderstandings between homeowners and contractors.

Timeline of Legislative Actions

February 13, 2025: Bill introduced.

March 17, 2025: Amendment No. 1 adopted.

April 9, 2025: Senate amendment concurred.

April 14, 2025: Bill signed into law as Act 558.

This summary provides an overview of House Bill 1468, highlighting its purpose, key provisions, and potential impact on homeowners and contractors in Arkansas.

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