Lone Tree passed an ordinance to restrict homeowners’ rights to hold builders accountable for shoddy construction. The proposed construction defects ordinance would:
- Take away homeowner associations’ right to a jury trial. The proposed ordinance prohibits HOAs from legally amending their governing documents to seek a jury trial. As a result, the proposed ordinance takes away homeowners’ fundamental right to a jury trial.
- Force homeowners association into an expensive arbitration process. While a plaintiff in a civil lawsuit can file a case for $322, arbitration typically costs $60,000 to $100,000 for an HOA construction defect case.
- Take away HOAs’ right to govern themselves. The proposed ordinance requires a majority of unit owners, who have elected their association board to make decisions involving the community, to vote in favor of bringing a construction defect lawsuit.
- Regulate areas of law already covered by state statutes. Colorado already provides extensive protections to builders who make construction mistakes. State law requires that homeowners provide builders with an opportunity to make things right and already requires that HOAs provide notice to association members regarding construction defect lawsuits. The proposed ordinance is inconsistent with Colorado’s state statutes and its attempt to regulate these areas of law is outside of Lone Tree’s jurisdiction.