Groundbreaking Construction Law Case
In a blow to builders and contractors, the Superior Court recently held that an owner of a building company could personally liable for breach of contract and warranty.
The managing member of the limited liability company repeatedly stated that he would take care of the homeowners’ concerns and guaranteed the quality of the work. Plantiffs’ expertBennett v. A.T. Masterpiece Homes and Broadsprings, LLC testified to numerous structural, insulation, ventilation and electrical defects in the two homes at issue. At trial, the manager of the company never denied the assurances and statements attributed to him.
The Superior Court found that the managing member could be found personally liable based upon his statements and also found that the manger and the company were properly found liable for deceptive conduct under the Pennsylvania Unfair Trade Practices and Consumer Protection Law. As a result of violation of the UTPCLP, an award of twice the actual damages suffered by the homeowners was upheld on appeal.
The moral of this case? Be careful what you promise, and build to code.
The following article is informational only and not intended as legal advice. Speak with a licensed attorney about your own specific situation. © Copyright 2011 MacElree Harvey, Ltd. All rights reserved.