New state law gives consumers more rights in disputes with contractors
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Consumers and contractors alike get new bargaining power under Wisconsin Act 201, passed by state lawmakers last spring. Dubbed the “right to cure” act, it gives consumers the right to a clear, written and prompt response from contractors regarding project foul-ups. Contractors get the right to try to resolve customer complaints before getting hauled into court. “We don’t know how this new dispute resolution law will impact the process, but one would expect it will help,” said Bob DuPont. He is program director for the Wisconsin Department of Commerce’s safety and buildings division, which governs one- and two-family home construction. Wisconsin’s right to cure law is taking DuPont’s agency, which generally deals with building safety and soundness, into a new realm - workmanship. “The state building code doesn’t cover things like the quality of carpeting, but the new law lays out a communication scheme” for dealing with such things, he said. Commerce officials have prepared a brochure that contractors are legally obligated to give customers before work commences, DuPont said. The brochure highlights key features of the new law, including: • Consumers must notify their contractors of alleged project defects, in writing, at least 90 days before pursuing legal action. • Contractors must respond to such complaints, in writing, within 15 days. Their choices: request permission to inspect the property; offer to undertake or pay for repairs; or reject the claim as invalid. A contractor’s refusal to negotiate sends the matter straight to arbitration or court. A customer’s rejection of an offer allows either party to propose other solutions. • Both parties must abide by a negotiations timetable, broken into mostly 15-day increments. A missed deadline could jeopardize that party’s bargaining position. The Wisconsin Builders Association, in Madison, which represents construction and remodeling firms, lobbied hard to make this state the nation’s 38th with a contractor right to cure law. “This law recognizes human nature - that if there’s a dispute over contract work, chances are the customer and builder are so mad at each other they don’t want to talk - but forces the parties to do the adult thing,” said Jerry Deschane, the trade group’s deputy executive vice president. Wisconsin probably will see benefits similar to other right to cure states: “a dramatic increase in repairs and a dramatic reduction in the time and money it costs to fight over such things,” Deschane said. Contractors can’t delude themselves into downplaying customer disgruntlement; “the customer is clearly saying, ‘This is serious. Get this fixed,’ ” the trade group official said. Source : jsonline.com |