CONSTRUCTION DEFECT DEMAND LETTER

STATE OF NEW JERSEY

NOTICE PURSUANT TO NEW HOME WARRANTY AND BUILDERS' REGISTRATION ACT

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

[DATE]

[CONTRACTOR/BUILDER NAME]
[ADDRESS]
[CITY, STATE ZIP]
New Jersey Contractor License No.: [LICENSE NUMBER]
NJ Builders Registration No.: [REGISTRATION 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 pursuant to the New Jersey New Home Warranty and Builders' Registration Act, N.J.S.A. 46:3B-1 et seq., 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 REQUIRED.

I. NEW JERSEY-SPECIFIC LEGAL FRAMEWORK

A. New Home Warranty and Builders' Registration Act

This notice is provided pursuant to N.J.S.A. 46:3B-1 et seq., New Jersey's New Home Warranty and Builders' Registration Act, which establishes:

• Mandatory builder registration
• Required warranties for new home construction
• Dispute resolution procedures through the New Home Warranty Program
• Standards for home construction

B. Statute of Limitations

New Jersey law provides the following limitations periods for construction defect claims:

C. Statute of Repose

N.J.S.A. 2A:14-1.1 establishes a ten (10) year statute of repose for actions against architects, engineers, and contractors for defective construction, running from substantial completion of the improvement.

D. Statutory Warranties Under New Jersey Law

The New Home Warranty Act provides the following warranties (N.J.S.A. 46:3B-3):

1. One-Year Warranty: Workmanship and materials warranted free from defects due to faulty workmanship or defective materials.

2. Two-Year Warranty: Plumbing, electrical, heating, cooling, and ventilation systems warranted against defective installation.

3. Ten-Year Warranty: Major structural defects warranted.

E. Contractor/Builder Registration Requirements

Under N.J.S.A. 46:3B-8, builders of new homes must be registered with the Department of Community Affairs. Additionally, home improvement contractors must register under the Contractor's Registration Act (N.J.S.A. 56:8-136 et seq.).

II. PROPERTY AND PROJECT INFORMATION

A. Property Description

B. Project Information

C. Parties Involved

General Contractor:
- Name: [NAME]
- Registration Number: [NUMBER]
- Address: [ADDRESS]
- Contact: [PHONE/EMAIL]

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

III. DESCRIPTION OF DEFECTS

Pursuant to the New Home Warranty Act, 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]

Warranty Category:
[ ] One-Year (Workmanship/Materials)
[ ] Two-Year (Systems Installation)
[ ] Ten-Year (Major Structural Defect)

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:
[ ] New Jersey Uniform Construction Code (N.J.A.C. 5:23)
[ ] Manufacturer's Installation Instructions
[ ] Industry Standards (IRC, IBC, ASTM)
[ ] Contract Specifications
[ ] New Home Warranty Standards

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 Statutory Warranty

You have breached the warranties required under N.J.S.A. 46:3B-3.

B. Breach of Contract

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

C. Breach of Express Warranty

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

D. Breach of Implied Warranty of Habitability

Under New Jersey law, builders impliedly warrant that new homes are fit for habitation. McDonald v. Mianecki, 79 N.J. 275, 398 A.2d 1283 (1979).

E. Negligence

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

F. Consumer Fraud Act Violation

Your conduct may violate the New Jersey Consumer Fraud Act (N.J.S.A. 56:8-1 et seq.).

G. Violation of Building Codes

The construction violates the New Jersey Uniform Construction Code (N.J.A.C. 5:23).

VI. STATUTORY NOTICE REQUIREMENTS

A. Your Rights Upon Receipt of Notice

Upon receipt of this notice, you have the right 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. New Home Warranty Program

For claims covered by the New Home Warranty, the dispute resolution process through the Department of Community Affairs may apply. Please note that this notice preserves our client's rights to pursue all remedies.

D. 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

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 all available remedies including litigation and filing claims with the New Home Warranty Program.

Respectfully submitted,

[LAW FIRM NAME]

By: _________________________________
[ATTORNEY NAME]
New Jersey 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]
NJ Department of Community Affairs (if applicable)

NEW JERSEY-SPECIFIC PRACTICE NOTES

New Home Warranty and Builders' Registration Act (N.J.S.A. 46:3B-1 et seq.):
- Mandatory for new home construction
- Three tiers: 1-year, 2-year, 10-year warranties
- Administered through approved warranty companies
- Dispute resolution through DCA

Builder Registration:
- Builders must register under N.J.S.A. 46:3B-8
- Home improvement contractors register under N.J.S.A. 56:8-136
- Verify registration with NJ Division of Consumer Affairs

New Jersey Consumer Fraud Act:
- N.J.S.A. 56:8-1 et seq.
- May apply to construction defect claims
- Treble damages and attorney's fees available
- Cox v. Sears Roebuck & Co., 138 N.J. 2 (1994)

Implied Warranty:
- Extends to subsequent purchasers
- McDonald v. Mianecki, 79 N.J. 275 (1979)
- Cannot be waived for residential construction

10-Year Statute of Repose:
- Runs from substantial completion
- N.J.S.A. 2A:14-1.1
- Discovery rule may extend period

Condominium Claims:
- Special procedures for condominium associations
- Condominium Act (N.J.S.A. 46:8B-1 et seq.)
- Association has standing for common elements

Economic Loss Doctrine:
- New Jersey recognizes exceptions for construction defects
- Saltiel v. GSI Consultants, Inc., 170 N.J. 297 (2002)
- Analysis depends on specific circumstances

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