CONSTRUCTION DEFECT DEMAND LETTER

STATE OF MARYLAND

NOTICE OF CONSTRUCTION DEFECTS

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

[DATE]

[CONTRACTOR/BUILDER NAME]
[ADDRESS]
[CITY, STATE ZIP]
Maryland Home Builder Registration No.: [REGISTRATION NUMBER]
MHIC License No.: [LICENSE NUMBER]

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. MARYLAND-SPECIFIC LEGAL FRAMEWORK

A. Construction Defect Claims in Maryland

While Maryland does not have a specific Right to Repair statute, construction defect claims are governed by the Maryland Code and common law principles. This notice provides you with the opportunity to address the claimed defects before litigation.

B. Statute of Limitations

Maryland law provides the following limitations periods for construction defect claims:

C. Statute of Repose

Md. Code, Cts. & Jud. Proc. Section 5-108 establishes a twenty (20) year statute of repose for actions against architects, engineers, and contractors for damages arising from improvement to real property, running from the date the improvement was completed. This is among the longest repose periods in the nation.

D. Implied Warranties in Maryland

Maryland recognizes the following implied warranties in residential construction:

1. Implied Warranty of Habitability: Builders impliedly warrant that new homes are fit for habitation. Loch Hill Construction Co. v. Fricke, 284 Md. 708, 399 A.2d 883 (1979).

2. Implied Warranty of Workmanlike Construction: Construction must be performed in a workmanlike manner. Berman v. Watergate West, Inc., 391 A.2d 1351 (Md. App. 1978).

3. Implied Warranty of Fitness: Home must be fit for intended purpose. Starfish Condo. Ass'n v. Yorkridge Serv. Corp., 295 Md. 693 (1983).

E. Contractor Licensing Requirements

Maryland requires contractor licensing through:
- Maryland Home Improvement Commission (MHIC): Home improvement contractors must be licensed under Md. Bus. Reg. Code Ann. Section 8-101 et seq.
- Home Builder Registration: New home builders must register under Md. Bus. Reg. Code Ann. Section 4.5-101 et seq.

II. PROPERTY AND PROJECT INFORMATION

A. Property Description

B. Project Information

C. Parties Involved

General Contractor:
- Name: [NAME]
- MHIC License Number: [NUMBER]
- Home Builder Registration No.: [NUMBER]
- 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:
[ ] Maryland Building Performance Standards
[ ] Manufacturer's Installation Instructions
[ ] Industry Standards (IRC, IBC, ASTM)
[ ] Contract Specifications
[ ] Implied Warranty of Workmanship
[ ] 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

Under Maryland law, builders impliedly warrant that new homes are fit for habitation. Loch Hill Construction Co. v. Fricke, 284 Md. 708, 399 A.2d 883 (1979).

D. Breach of Implied Warranty of Workmanlike Construction

Under Maryland law, construction must be performed in a workmanlike manner. Berman v. Watergate West, Inc., 391 A.2d 1351 (Md. App. 1978).

E. Negligence

You owed a duty of care to perform construction in accordance with the applicable standard of care and breached that duty.

F. Violation of Building Codes

The construction violates the Maryland Building Performance Standards and/or local building codes.

G. Violation of MHIC Requirements

The work may violate Maryland Home Improvement Commission requirements under Md. Bus. Reg. Code Ann. Section 8-101 et seq.

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
- Waiver of your right to inspect and repair
- Potential adverse inference at trial
- Complaint to Maryland Home Improvement Commission

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

Spoliation Warning: Failure to preserve evidence may result in adverse inference instructions and sanctions.

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: $[AMOUNT]
4. Payment of attorney's fees incurred to date: $[AMOUNT]

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]
Maryland Bar 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]
Maryland Home Improvement Commission (if applicable)

MARYLAND-SPECIFIC PRACTICE NOTES

No Statutory Right to Repair:
- Maryland does not have a specific Right to Repair statute
- Pre-suit notice is recommended as best practice
- Allows opportunity for early resolution
- May demonstrate good faith in litigation

Implied Warranties:
- Warranty of habitability recognized for new residential construction
- Loch Hill Construction Co. v. Fricke, 284 Md. 708 (1979)
- Extends to subsequent purchasers
- Builder cannot waive implied warranty

MHIC Requirements:
- Home improvement contractors must be MHIC licensed
- Md. Bus. Reg. Code Ann. Section 8-101 et seq.
- Unlicensed work is void and contractor cannot collect
- Consumer may recover treble damages for unlicensed work

Home Builder Registration:
- New home builders must register
- Md. Bus. Reg. Code Ann. Section 4.5-101 et seq.
- Separate from MHIC licensing

Long Statute of Repose:
- 20-year repose period is among longest nationally
- Provides extended time to bring claims
- Runs from date improvement completed

Economic Loss Doctrine:
- Maryland applies the economic loss doctrine
- Morris v. Osmose Wood Preserving, 340 Md. 519 (1995)
- Negligence claims may be limited for economic damages

Discovery Rule:
- Statute of limitations may be tolled until defect discovered
- Poffenberger v. Risser, 290 Md. 631 (1981)

Consumer Protection Act:
- Md. Com. Law Section 13-101 et seq.
- May provide additional remedies for deceptive practices
- Treble damages may be available

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