Construction Defect Demand Letter - Illinois

CONSTRUCTION DEFECT DEMAND LETTER

STATE OF ILLINOIS

NOTICE OF CONSTRUCTION DEFECTS

SENT VIA CERTIFIED MAIL, RETURN RECEIPT REQUESTED
AND REGULAR FIRST-CLASS MAIL

[DATE]

[CONTRACTOR/BUILDER NAME]
[ADDRESS]
[CITY, STATE ZIP]
Trade/Local License or Registration No.: [LICENSE NUMBER] (if applicable)

Re: NOTICE OF CONSTRUCTION DEFECTS
Property Address: [PROPERTY ADDRESS]
Owner: [OWNER NAME]
Original Contract Date: [DATE]
Substantial Completion Date: [DATE]

Dear Sir or Madam:

This firm represents [OWNER NAME] ("Owner" or "Claimant") regarding construction defects at the above-referenced property. This letter constitutes formal notice of construction defects and serves as notice providing you with the opportunity to inspect, offer to repair, and/or settle this claim before litigation is commenced.

YOUR TIMELY RESPONSE IS REQUESTED WITHIN THIRTY (30) DAYS.

I. ILLINOIS-SPECIFIC LEGAL FRAMEWORK

A. Claim and Project Classification

Illinois does not impose a general statutory right-to-cure process for every construction-defect claim. Before sending this demand, identify:

• whether the work was original construction, repair, or remodeling;
• whether the defendant designed, planned, supervised, managed, or performed construction;
• whether the claim concerns a contract, an express or implied warranty, property damage, personal injury, consumer fraud, or another theory;
• whether the contract contains notice, inspection, mediation, arbitration, warranty, or fee provisions; and
• which State, county, municipal, permit, and trade-licensing requirements apply at the project address.

The Home Repair and Remodeling Act, 815 ILCS 513, covers defined repair and remodeling work at residences of six or fewer dwelling units, but excludes original residential construction, repairs to dwellings with more than six units, and maintenance, service, or repairs under $500. It is not a construction-defect presuit-notice statute.

B. Statute of Limitations

Limitations are claim- and fact-specific. For claims against a person arising from an act or omission in the design, planning, supervision, observation, management, or construction of an improvement to real property, 735 ILCS 5/13-214 generally supplies the controlling framework:

C. Statute of Repose

The four-year period in § 13-214(a) is a discovery-based limitation, not a four-year repose period for design professionals. Section 13-214(b) generally bars covered claims after ten years from the construction-related act or omission. A claimant who discovers the act or omission before the ten-year period expires receives the extension described in subsection (b). Longer express warranties and the other statutory exceptions must be evaluated before calculating a deadline.

D. Implied Warranties in Illinois

Illinois's implied warranty of habitability is not a universal warranty against every project participant:

1. Petersen v. Hubschman Construction Co., 76 Ill. 2d 31 (1979), recognizes an implied warranty in a builder-vendor's sale of a new home that the completed home is reasonably suited for its intended use.
2. Redarowicz v. Ohlendorf, 92 Ill. 2d 171 (1982), permits a qualifying subsequent purchaser to enforce the warranty against the builder-vendor.
3. Board of Managers of the Village Centre Condominium Ass'n v. Wilmette Partners, 198 Ill. 2d 132 (2001), requires a purported waiver to be conspicuous, disclose its consequences, and reflect the parties' agreement; the waiver issue is document-specific.
4. Sienna Court Condominium Ass'n v. Champion Aluminum Corp., 2018 IL 122022, holds that a purchaser without contractual privity may not assert the implied warranty against a subcontractor.

Confirm the claimant, defendant, project type, privity, sale documents, and any purported waiver before asserting this theory.

E. Home Repair and Remodeling Act

For covered work under 815 ILCS 513:

• Section 15 requires a signed written contract or work order before covered work over $1,000 begins; it must state the total cost, reasonably particularized parts and materials, estimate charges, and specified business-address information.
• Section 20 requires the statutory consumer-rights pamphlet; contracts over $1,000 also require the signed acknowledgment described there.
• Section 25 requires the insurance specified by the Act unless its net-worth exception applies.
• Section 30 permits a person who suffers actual damage as a result of a violation to bring an action under § 10a of the Consumer Fraud Act. A statutory violation does not establish causation or damages by itself.
• Section 31 makes a contractual attorney-fee provision reciprocal for all parties to a covered contract executed on or after August 1, 2025, if the provision allows fees to any party.

II. PROPERTY AND PROJECT INFORMATION

A. Property Description

B. Project Information

C. Parties Involved

General Contractor:

• Name: [NAME]
• License Number: [NUMBER] (if applicable)
• Address: [ADDRESS]
• Contact: [PHONE/EMAIL]

Subcontractors: (List all subcontractors whose work is believed defective)

III. DESCRIPTION OF DEFECTS

The following is a detailed description of each claimed construction defect:

DEFECT #1: [TITLE - e.g., FOUNDATION CRACKING]

Location: [Specific location within the property]

Description: [Detailed description of the defect, including how it manifests, when it was discovered, and any progression]

Building Components Affected:
☐ Foundation/Slab ☐ Framing ☐ Roofing ☐ Exterior walls/Siding ☐ Windows/Doors
☐ Plumbing ☐ Electrical ☐ HVAC ☐ Insulation ☐ Drywall/Interior finishes
☐ Flooring ☐ Waterproofing ☐ Drainage ☐ Other: [SPECIFY]

Evidence Supporting Defect:
[Describe supporting evidence - expert reports, photographs, testing results, etc.]

Standards Violated:
☐ Applicable State or local building/permit code
☐ Manufacturer's Installation Instructions
☐ Industry Standards (IRC, IBC, ASTM)
☐ Contract Specifications
☐ Contractual workmanship requirement
☐ Implied Warranty of Habitability

Date First Observed: [DATE]

Estimated Cost to Repair: $[AMOUNT]

DEFECT #2: [TITLE]

[REPEAT FORMAT ABOVE FOR EACH DEFECT]

IV. SUMMARY OF DEFECTS AND DAMAGES

V. LEGAL BASIS FOR CLAIMS

A. Breach of Contract

You failed to perform construction in accordance with the contract terms, plans, specifications, and applicable building codes.

B. Breach of Express Warranty

You provided express warranties regarding quality and durability of construction which you have breached.

C. Breach of Implied Warranty of Habitability

If the claimant and defendant fall within the doctrine's current scope, the builder-vendor's sale of a new home carries an implied warranty that the completed home is reasonably suited for its intended use. Petersen v. Hubschman Construction Co., 76 Ill. 2d 31 (1979). Identify any subsequent-purchaser, privity, or waiver issue before using this claim.

D. Other Warranty Claim

You breached the following express warranty or other claim-specific warranty: [IDENTIFY THE WARRANTY, WARRANTOR, COVERED WORK, WARRANTY TERM, AND BREACH].

E. Negligence

If supported by an independent duty and recoverable injury under current Illinois law, you breached the following duty: [IDENTIFY THE DUTY, BREACH, CAUSATION, AND RECOVERABLE INJURY].

F. Consumer Fraud

For covered repair or remodeling work, the following violation of the Home Repair and Remodeling Act caused actual damage to the claimant: [IDENTIFY THE VIOLATION, RELIANCE/CAUSATION FACTS, AND ACTUAL DAMAGE]. See 815 ILCS 513/30 and 815 ILCS 505/10a.

G. Violation of Building Codes

The construction violates the following code or permit requirement in force for this project: [IDENTIFY THE GOVERNING JURISDICTION, CODE EDITION, SECTION, PERMIT REQUIREMENT, AND DEFECT].

VI. NOTICE AND OPPORTUNITY TO CURE

A. Request for Response

Upon receipt of this notice, you have the opportunity to:

1. Respond to Notice: Provide written response within 30 days of receiving this notice
2. Inspect the Property: Request an inspection within a reasonable time
3. Offer to Repair: Make a written offer to repair some or all defects
4. Offer Settlement: Make a written offer of monetary compensation
5. Dispute Claims: Deny responsibility for the claimed defects in writing

B. Response Deadline

Your written response is requested within THIRTY (30) DAYS of receipt of this notice.

Your response should include:

1. Whether you accept or dispute the claimed defects
2. Whether you wish to inspect the property
3. Your offer, if any, to repair or compensate
4. Any documentation supporting your position

C. Consequences of Non-Response

Failure to respond may result in:

• Owner proceeding directly to litigation
• Expiration of a contractual opportunity to inspect or cure, but only if the identified contract provision creates that consequence
• The claimant seeking relief available under the contract and applicable law

This letter does not assert that Illinois law creates an automatic waiver, adverse inference, or sanction from failure to answer this voluntary 30-day request.

VII. DEMAND FOR INSPECTION ACCESS

We hereby offer you the opportunity to inspect the property. To schedule an inspection:

1. Contact our office in writing within 30 days
2. Propose inspection dates during reasonable business hours
3. Identify all persons who will attend
4. Identify any experts who will participate

Contact Information:
[LAW FIRM NAME]
[ADDRESS]
[PHONE]
[EMAIL]

VIII. PRESERVATION OF EVIDENCE

You are hereby directed to preserve all documents and materials relating to the construction, including:

• All contracts and subcontracts
• Plans, specifications, and drawings
• Inspection reports and quality control records
• Correspondence with owner and subcontractors
• Photographs taken during construction
• Daily logs and progress reports
• Warranties from manufacturers
• Insurance policies and certificates

Preservation Notice: Illinois generally does not impose a duty to preserve evidence merely because litigation is possible. Any preservation duty and remedy depend on the relationship, foreseeability, undertaking, court orders, and other facts recognized by applicable law. See Martin v. Keeley & Sons, Inc., 2012 IL 113270. This paragraph requests preservation and does not state that a particular sanction or inference is automatic.

IX. SETTLEMENT DEMAND

To resolve this matter without litigation, we demand:

Option A - Repair by Contractor:

1. Complete repair of all identified defects within [NUMBER] days
2. All repairs warranted for minimum of [NUMBER] years
3. Payment of investigation and expert costs recoverable under [CONTRACT/STATUTE/OTHER AUTHORITY]: $[AMOUNT]
4. Payment of attorney's fees recoverable under [CONTRACT/STATUTE/OTHER AUTHORITY]: $[AMOUNT]. For a covered contract executed on or after August 1, 2025, analyze 815 ILCS 513/31 before treating a fee clause as one-sided.

Option B - Monetary Settlement:
Payment of $[AMOUNT] within 30 days.

X. CONCLUSION

Please respond in writing within 30 days of receipt of this notice. If we do not receive a timely response, our client will proceed with litigation without further notice.

Respectfully submitted,

[LAW FIRM NAME]

By: _________________________________
[ATTORNEY NAME]
Illinois ARDC No. [NUMBER]
[ADDRESS]
[CITY, STATE ZIP]
[TELEPHONE]
[EMAIL]

Attorneys for [OWNER NAME]

ENCLOSURES:
☐ Photographs of defects
☐ Expert report(s)
☐ Repair estimates
☐ Copy of construction contract
☐ Correspondence history

cc: [OWNER NAME]
[INSURANCE CARRIER]
[APPLICABLE LICENSING OR REGULATORY AUTHORITY, IF LEGALLY APPROPRIATE]

ILLINOIS-SPECIFIC PRACTICE NOTES

Implied Warranties:

• The implied warranty of habitability originated in the builder-vendor sale of a new home under Petersen.
• A qualifying subsequent purchaser may assert it against the builder-vendor under Redarowicz.
• A waiver is not categorically forbidden; analyze it under Village Centre's conspicuousness, disclosure, and actual-agreement requirements.
• Do not assert the warranty against a non-privity subcontractor in conflict with Sienna Court.

Home Repair and Remodeling Act (815 ILCS 513/1 et seq.):

• Applies only to the covered repair/remodeling work defined in § 10; original residential construction is excluded.
• Section 15 requires the specified written contract or work order for covered work over $1,000.
• Section 20 governs the consumer-rights pamphlet and acknowledgment.
• Section 30 requires actual damage resulting from the violation and routes the action through Consumer Fraud Act § 10a.
• Section 31 makes a fee clause that benefits any party reciprocal for all parties to a covered contract executed on or after August 1, 2025.
• The Act does not create the 30-day response period used in this demand.

Contractor Licensing:

• Verify all State trade licenses and local licenses or registrations applicable to the work and project address.
• Roofing contractors are subject to the Illinois Roofing Industry Licensing Act, 225 ILCS 335/1-3, as amended effective August 15, 2025.
• Do not label a contractor unlicensed without checking the license category, statutory exemptions, and local requirements.

Economic Loss Doctrine:

• Have Illinois counsel classify each claimed loss and theory before including negligence or another tort claim alongside contract and warranty claims.
• Do not assume that pleading property damage, code violations, or fraud automatically avoids a contract-based limitation on recovery.

Condominium Claims:

• Under 765 ILCS 605/9.1(b), the board of managers has representative standing and capacity for matters involving common elements or more than one unit.
• Confirm board authorization, declaration/bylaw requirements, unit-owner interests, warranties, waivers, and the proper claimant before sending the demand.

Construction Limitation and Repose:

• Section 13-214(a) generally measures four years from when the claimant or the claimant's privy knew or reasonably should have known of the construction-related act or omission.
• Section 13-214(b) generally imposes ten-year repose and includes a limited extension for discovery before repose expires.
• Check subsections (c)-(f), any longer express warranty, fraudulent concealment, claimant identity, defendant role, accrual facts, and all other potentially controlling provisions.

Chicago-Specific Requirements:

• If the property is in Chicago, separately verify the current Chicago Construction Codes, permit record, and trade-licensing rules before inserting a code or license allegation.

SOURCES AND REFERENCES

• 735 ILCS 5/13-214 — construction limitation and repose
• 735 ILCS 5/13-202, 13-205, and 13-206 — general limitations provisions
• 815 ILCS 513 — Home Repair and Remodeling Act
• Public Act 104-0033 — 815 ILCS 513/31 attorney-fee reciprocity
• 815 ILCS 505/10a — Consumer Fraud Act private action
• 810 ILCS 5/2-102 and 2-725 — scope and sales-contract limitation
• 765 ILCS 605/9.1 — condominium board standing
• 225 ILCS 335 — Illinois Roofing Industry Licensing Act
• 20 ILCS 3105/10.18 — identification and baseline structural requirements for local building codes
• Board of Managers of the Village Centre Condominium Ass'n v. Wilmette Partners, 198 Ill. 2d 132 (2001)
• Sienna Court Condominium Ass'n v. Champion Aluminum Corp., 2018 IL 122022
• Martin v. Keeley & Sons, Inc., 2012 IL 113270

This template is for informational purposes only and does not constitute legal advice. Consult a licensed Illinois attorney before use.