Oklahoma 2023 Regular Session

Oklahoma House Bill HB1597 Compare Versions

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334 BILL NO. 1597 By: Martinez and Dollens of the
435 House
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637 and
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839 Newhouse of the Senate
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1343 An Act relating to contracts; amending 15 O.S. 2021,
1444 Section 765.6, which relates to Notice of Opportunity
1545 to Repair Act; subjecting requirements to certain
1646 contractual agreements; and providing an effective
1747 date.
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20-SUBJECT: Contracts
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2251 BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
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2452 SECTION 1. AMENDATORY 15 O.S. 2021, Section 765.6, is
2553 amended to read as follows:
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2754 Section 765.6 A. For the purposes of this section:
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2955 1. "Construction defect" means a deficiency in or a deficiency
3056 arising out of the design, specifications, surveying, pl anning,
3157 supervision or observation of construction or co nstruction of
3258 residential improvements that results from any of the following:
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3459 a. defective material, products or components used in the
3560 construction of residential improvements,
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3761 b. violation of the applicable codes in effect at the
3862 time of construction of residential improvements,
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4090 c. failure of the design of residential improvements to
4191 meet the applicable professional standards of care at
4292 the time of governmental approval of the design of
4393 residential improvements, or
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4594 d. failure to construct residential imp rovements in
4695 accordance with accepted trade standards for good and
4796 workmanlike construction at the time of construction;
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4997 2. "Contractor" means a person or entity providing labor,
5098 services or material s in the construction of a new residence or
5199 alteration of, repair of, or addition to an existing residence; and
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53100 3. "Residence" means any structure designed and used only for
54101 residential purposes, together with all attached and unattached
55102 structures, constructed by the contractor, regardless of whether the
56103 real property upon which the residence is located was purchased from
57104 the contractor. Such term also includes a residence upon which
58105 alterations or repairs were performed by the contractor at the
59106 direction of the homeowner.
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61107 B. A contract for the construction of a new residence or for an
62108 alteration of, repair of, or addition to an existing residence may
63109 include provisions which:
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65110 1. Require a homeowner, prior to filing a lawsuit for
66111 construction defects, t o present to the contractor a written notice
67112 of construction defects; and
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69140 2. Allow the contractor to inspect any construction defects and
70141 present to the homeowner a written response which shall include the
71142 contractor's offer to repair defects or compensat e homeowner for
72143 such defects within thirty (30) days aft er receipt of the notice of
73144 defects.
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75145 If Regardless of whether such provisions are included in a
76146 contract, the homeowner shall not file a lawsuit against the
77147 contractor until the conditions precedent as set forth in parag raphs
78148 1 and 2 of this subsection have been fulfilled. In the event the
79149 homeowner files a lawsuit against the contractor without fulfilling
80150 the conditions precedent, the contractor shall be entitled to a stay
81151 of proceedings until such c onditions have been fulfilled. If the
82152 conditions precedent have been fulfilled, the homeowner may seek
83153 remedies against the contractor as provided by law. The provisions
84154 of this section shall not be subject to, and nothing herein is
85155 intended to alter, co ntradict or otherwise diminish the application
86156 of, the terms of a separate express contractual warranty agreed upon
87157 by a contractor or homeowner. This section does not create a cause
88158 of action or derivative liability or extend a limitations period.
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90-SECTION 2. This act shall become effective November 1, 2023. ENR. H. B. NO. 1597 Page 4
91-Passed the House of Representatives the 27th day of February,
92-2023.
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97- Presiding Officer of the House
98- of Representatives
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101-Passed the Senate the 17th day of April, 2023.
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109-OFFICE OF THE GOVERNOR
110-Received by the Office of the Governor this ____________________
111-day of ___________________, 20_______, at _______ o'clock _______ M.
112-By: _________________________________
113-Approved by the Governor of the State of Oklahoma this _____ ____
114-day of ___________________ , 20_______, at _______ o'clock _______ M.
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117- _________________________________
118- Governor of the State of Oklahoma
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120-OFFICE OF THE SECRETARY OF STATE
121-Received by the Office of the Secretary of State this __________
122-day of ___________________, 20_______, at _______ o'clock _______ M.
123-By: _________________________________
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159+SECTION 2. This act shall become effective November 1, 2023.
160+COMMITTEE REPORT BY: COMMITTEE ON BUSINESS AND COMMERCE
161+April 10, 2023 - DO PASS