Construction Defect Demand Letter - Utah

CONSTRUCTION DEFECT DEMAND LETTER

STATE OF UTAH

NOTICE, REPAIR REQUEST, AND SETTLEMENT DEMAND

SENT BY ☐ CERTIFIED MAIL ☐ CONTRACT-REQUIRED METHOD ☐ OTHER: [METHOD]

[DATE]

[BUILDER / CONTRACTOR / DEVELOPER / OTHER RECIPIENT]

[ADDRESS]

[CITY, STATE ZIP]

Utah license number and classification, if applicable: [NUMBER / CLASS / UNKNOWN]

Re: CONSTRUCTION-DEFECT NOTICE AND REPAIR DEMAND
Property: [PROPERTY ADDRESS]
Owner: [OWNER NAME]
Contract / Purchase Date: [DATE]
Claimed Completion Date: [DATE / UNDER REVIEW]

Dear [NAME]:

This firm represents [OWNER NAME] regarding alleged construction defects at the property identified above. This letter describes the conditions presently known, requests inspection and reasonable repairs, and seeks resolution without litigation.

Select and complete the correct notice route before service:

☐ Condominium owner against condominium developer. This notice is intended to satisfy Utah Code § 78B-4-513(8). It describes the alleged defective design or construction and requests all necessary repairs. Section 78B-4-513(8)-(9) generally prevents that action until the owner gives the notice and the developer fails to complete the requested reasonable repairs within nine months after notice.

☐ Other residential construction claim. This is a voluntary notice unless a contract, express warranty, insurance condition, association document, or other current law requires it. Section 78B-4-513 does not impose the condominium-developer nine-month procedure on every residential construction dispute.

Counsel must confirm the claimant, defendant, property classification, privity or valid assignment, contract and warranty terms, arbitration clause, insurance requirements, delivery method, and every filing deadline before service. Sending this letter does not itself toll or extend a deadline.

I. UTAH CLAIM AND DEADLINE FRAMEWORK

A. Defective-construction claim classification

Utah Code § 78B-4-513 generally limits an action for defective design or construction to breach of contract, whether written or otherwise, including express and implied warranties. The statute permits an action to include physical personal injury or damage to other property caused by the defect. For that exception, property damage does not include the construction's failure to function as designed or diminution in the constructed property's value.

Except for the statute's injury/other-property and assignment provisions, only a person in privity of contract with the original contractor, architect, engineer, or real-estate developer may bring the defective-construction action. A contract right may be assigned, including to a subsequent owner or homeowners association. Identify and attach the actual contract and every assignment before asserting standing.

Do not plead negligence, strict liability, or another tort merely by relabeling economic loss from allegedly defective construction. Counsel must identify an authorized theory and a duty independent of the contract where current law requires one.

B. Condominium-developer notice procedure

The procedure in § 78B-4-513(8)-(9) is specific. It applies to an action by a condominium owner against a condominium developer as those terms are defined in that section.

Section 78B-4-513 states that the condominium developer shall make all reasonable repairs requested in the notice. If the developer does not complete those repairs within nine months after notice, the owner may bring the defective-construction action. Counsel should determine whether emergency mitigation, access, destructive testing, changed conditions, limitations, arbitration, association standing, or other claims require additional action during that period.

C. Utah Code § 78B-2-225

Section 78B-2-225 applies broadly to judicial, arbitral, or administrative claims arising out of or related to the design, construction, or installation of an improvement. Its definition reaches contract, warranty, tort, strict-liability, product-liability, indemnity, contribution, and other theories against or by a covered provider.

For this section, completion is the earliest of:

1. A certificate of substantial completion;
2. A certificate of occupancy issued by a governing agency; or
3. First use or possession of the improvement.

The section generally requires a contract- or warranty-based action by or against a provider to be commenced within six years after completion or abandonment, subject to its express-obligation and other qualifications. It generally requires other covered actions to be commenced within two years from the statutory discovery or constructive-discovery trigger and imposes a nine-year outside limit for those noncontract actions, subject to the section's exceptions.

The former template's “six years, or nine years if discovered in year five or six” summary was incorrect. Section 78B-2-225 is not a simple optional six-or-nine-year deadline. Counsel must classify the claim, recipient, provider status, completion/abandonment, discovery, any later express obligation, and every exception from the current section text.

D. Sales-of-goods issues

Utah Code § 70A-2-725 applies to a qualifying contract for sale. It generally uses a four-year period, permits the original agreement to reduce that period to not less than one year, and ordinarily measures warranty accrual from tender of delivery unless an explicit warranty extends to future performance and discovery must await that performance.

Section 70A-2-102, amended in 2026, applies Article 2 to transactions in goods and supplies specific rules for hybrid transactions. Do not apply § 70A-2-725 automatically to a predominantly construction-services or real-property agreement. Identify the allegedly defective good, seller, transaction classification, tender, warranty language, and any contractual reduction.

II. WARRANTY, LICENSING, AND CODE REVIEW

A. Contract and warranty

Section 78B-4-513 recognizes that the permitted contract action may include express and implied warranty theories, but it does not make every builder, repairer, subcontractor, developer, later seller, or design professional subject to the same implied terms. Counsel must determine:

• The actual contracting parties and any assignment;
• Whether the project is new construction, renovation, repair, common-area work, or a component sale;
• The express warranty's issuer, beneficiary, scope, exclusions, notice method, cure process, and duration;
• Whether an implied warranty exists for this transaction and claimant;
• Whether any limitation, disclaimer, waiver, merger, or remedy term is valid; and
• The available measure of damages and any duty to mitigate.

No warranty theory should be asserted solely because a generic checklist uses the words “habitability” or “workmanlike construction.” Insert the file-specific contract language and current authority.

B. Contractor licensing

Utah Code § 58-55-501 currently treats engaging in a construction trade or acting as a contractor in a trade requiring licensure without the appropriate license or exemption as unlawful conduct. It also addresses work beyond license scope, unlicensed bids, permits, and other conduct. DOPL maintains classifications including general building, residential and small commercial, remodel/repair, and specialty trades.

The section does not support the former template's blanket statement that every unlicensed contractor “may not enforce contracts.” Before alleging a licensing consequence, confirm:

Current § 58-55-501 is marked superseded January 1, 2027 as part of a 2026 statutory reorganization. For work, notice, or litigation crossing that date, counsel must use the version in force for the relevant conduct and remedy.

C. State and local construction requirements

Utah Code Title 15A defines the State Construction Code through Chapters 2, 2a, 3, 4, and 6, including adopted codes and statewide, specified local, mass-timber, and additional requirements. Identify the code edition, statutory amendments, local jurisdiction, permit, inspection record, and effective date before alleging a violation.

A model IRC, IBC, manufacturer instruction, ASTM standard, or industry guide is not automatically the governing legal requirement for every project. State the contractual or legal basis making a cited standard applicable.

D. Residence Lien Recovery Fund

The Residence Lien Restriction and Lien Recovery Fund Act in Title 38, Chapter 11 addresses lien protection and payment claims by qualifying laborers, subcontractors, and suppliers when a nonpaying party fails to pay. It is not a general homeowner fund for the cost of repairing defective construction. The former template's contrary statement has been removed.

III. PROPERTY, PROJECT, AND PARTY INFORMATION

Recipients

IV. DESCRIPTION OF ALLEGED DEFECTS AND REPAIR REQUEST

Describe observed facts, resulting damage, and requested repairs. Separate the constructed property's failure or diminished value from any claimed physical injury or damage to other property.

DEFECT #1: [TITLE]

Location: [SPECIFIC LOCATION]

Observed condition: [WHAT WAS OBSERVED, WHEN, BY WHOM, AND HOW IT PROGRESSED]

Alleged cause or deficient work: [FACTUAL / EXPERT BASIS]

Constructed-property effect: [FUNCTION / REPAIR / VALUE ISSUE]

Physical injury or other-property damage, if any: [DESCRIBE OR NONE]

Recipient believed responsible and scope: [NAME / ROLE / WORK]

Potential governing requirement, subject to counsel confirmation:

☐ Contract plan or specification: [IDENTIFY]

☐ Express warranty: [IDENTIFY]

☐ Implied warranty supported by current Utah law: [IDENTIFY]

☐ State or local code in effect for the work: [IDENTIFY]

☐ Manufacturer instruction or professional standard made applicable to the work: [IDENTIFY]

Date first observed: [DATE]

Available evidence: [PHOTOGRAPHS / REPORT / TEST / ESTIMATE / CORRESPONDENCE]

Necessary repair requested: [SCOPE]

Estimated cost: $[AMOUNT / UNDER INVESTIGATION]

DEFECT #2: [TITLE]

[REPEAT THE FORMAT ABOVE FOR EACH CONDITION]

V. SUMMARY OF CLAIMED LOSS

This form assumes no automatic entitlement to attorney fees, expert fees, consequential damages, enhanced damages, or punitive damages. Include an item only when Utah counsel identifies current authority, contract language, and a good-faith factual basis.

VI. POTENTIAL CLAIMS

Owner presently contends that: [INSERT ONLY THE FACT-SPECIFIC THEORIES APPROVED BY UTAH COUNSEL].

Nothing in this form alleges fraud, a code violation, professional negligence, intentional misconduct, or entitlement to enhanced relief without adequate investigation and a good-faith basis.

VII. INSPECTION, REPAIR, AND RESPONSE

Owner offers reasonable access to inspect the identified conditions. Please contact:

[CONTACT NAME]

[ADDRESS]

[PHONE / EMAIL]

Please identify proposed dates, attendees, experts, access areas, testing, sampling, and any destructive work. No destructive testing is authorized by this letter alone. A separate written protocol should address documentation, samples, restoration, insurance, safety, and responsibility for damage.

Please respond by [DATE SELECTED AFTER STATUTORY, CONTRACT, AND DEADLINE REVIEW] and state:

1. Whether an inspection is requested and the proposed schedule;
2. Whether each alleged condition is accepted, disputed, or under investigation;
3. The complete repair or monetary proposal;
4. The proposed scope, responsible licensees, permits, schedule, testing, and warranty; and
5. Any requested release, access agreement, payment term, or dispute-resolution process.

For a covered condominium-developer notice, the requested repairs and statutory nine-month period are governed by § 78B-4-513(8)-(9), not by an invented 15- or 30-day statutory deadline. An earlier response date in this letter is a settlement request unless another controlling source makes it mandatory.

VIII. PRESERVATION AND DOCUMENT EXCHANGE

Please preserve reasonably anticipated evidence concerning the project and alleged defects, including:

• Contracts, assignments, change orders, plans, specifications, and shop drawings
• Permits, inspection records, correction notices, and occupancy documents
• Daily logs, photographs, testing, quality-control, and commissioning records
• Communications with owners, designers, contractors, subcontractors, and suppliers
• Product data, installation instructions, warranties, and samples
• Payment, insurance, credential, and claim records
• Records supporting completion, first use, possession, and license status

Owner will likewise preserve reasonably available evidence. Counsel should tailor this request to the dispute and governing preservation law; this paragraph does not itself establish sanctions or an adverse inference.

IX. PROPOSED RESOLUTION

Subject to inspection and a complete written agreement, Owner proposes:

Option A — Repair:

1. Agreed repair scope, design, responsible professionals, and materials: [DETAILS]
2. Permits, inspections, testing, and closeout documents: [DETAILS]
3. Start and completion dates: [DATES]
4. Access, protection, temporary conditions, and restoration: [DETAILS]
5. Written repair warranty: [TERMS TO BE NEGOTIATED]
6. Supported additional payment: $[AMOUNT / BASIS]

Option B — Monetary Resolution:

Payment of $[AMOUNT] under a signed agreement addressing allocation, releases, payment timing, and other negotiated terms.

Other proposal: [DESCRIBE]

X. CONCLUSION

Please provide the requested written response by [DATE]. Owner reserves all rights, claims, and remedies, subject to every defense and deadline. This letter does not extend, toll, revive, waive, or stipulate any limitation, repose, contract, warranty, arbitration, insurance, or claim-presentation period.

Respectfully submitted,

[LAW FIRM NAME]

By: _________________________________

[ATTORNEY NAME]

Utah State Bar No. [NUMBER]

[ADDRESS]

[CITY, STATE ZIP]

[TELEPHONE]

[EMAIL]

Attorneys for [OWNER NAME]

ENCLOSURES:

☐ Photographs

☐ Expert or inspection report

☐ Repair estimate

☐ Contract, assignment, plans, or warranty excerpts

☐ Condominium declaration or ownership document

☐ Correspondence history

☐ Other: [DESCRIBE]

ATTORNEY COMPLETION CHECKLIST

• ☐ Classify the claimant, recipient, project, and loss under § 78B-4-513.
• ☐ Confirm original privity or a valid assignment before asserting the claim.
• ☐ Apply the condominium-developer notice and nine-month rule only when its definitions fit.
• ☐ Calculate § 78B-2-225 contract/warranty and noncontract periods independently.
• ☐ Preserve proof of completion, first use or possession, discovery, breach, and assignment.
• ☐ Review every express warranty, arbitration, insurance, and contractual notice term.
• ☐ Confirm the actual Title 15A code edition, state amendments, local amendments, and permits.
• ☐ Verify license classification, scope, qualifier, exemptions, and the law in force on the relevant date.
• ☐ Remove every claim, remedy, fee, deadline, or consequence lacking current authority and factual support.

SOURCES AND REFERENCES

• Utah Code § 78B-4-513: https://le.utah.gov/xcode/Title78B/Chapter4/78B-4-S513.html
• Current § 78B-4-513 PDF, effective May 7, 2025: https://le.utah.gov/xcode/Title78B/Chapter4/C78B-4-S513_2025050720250507.pdf
• Utah Code § 78B-2-225: https://le.utah.gov/xcode/Title78B/Chapter2/78B-2-S225.html
• Current § 78B-2-225 PDF: https://le.utah.gov/xcode/Title78B/Chapter2/C78B-2-S225_2020051220200512.pdf
• 2020 H.B. 223 enrolled text and amendment history: https://le.utah.gov/~2020/bills/hbillenr/HB0223.pdf
• Utah Code §§ 70A-2-102 and 70A-2-725: https://le.utah.gov/xcode/Title70A/Chapter2/C70A-2_1800010118000101.pdf
• Utah Code § 58-55-501 and current/future Chapter 55 text: https://le.utah.gov/xcode/Title58/Chapter55/58-55-S501.html
• DOPL contractor classifications and license search: https://db.dopl.utah.gov/cbr/
• Utah State Construction Code adoption and amendments: https://le.utah.gov/xcode/Title15A/Chapter2/C15A-2_1800010118000101.pdf
• Residence Lien Recovery Fund provisions: https://le.utah.gov/xcode/Title38/Chapter11/C38-11-P2_1800010118000101.pdf

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