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  1. #1
    Join Date
    May 2019
    Posts
    1

    Default What Action Can a Homeowner Take After a HOA Recovers Money for Repairs

    My question involves a consumer law issue in the State of: NJ
    Our house was built in 2006 and our association won a multi million dollar suit against the builder for installing insulation upside down and backward creating a fire hazard and hiring under insured subcontractors for faulty work that created leaks, rotten wood and mold. The repairs are just starting on our house but can I take legal action for the home not being built to code? For diminished value? Hazardous environment with mold? Heating bills for lack of insulation?
    Here is part of the association suit
    https://scholar.google.com/scholar_c...42217983882039
    Besides the home being fixed am I entitled to be compensation?

  2. #2
    Join Date
    Sep 2010
    Posts
    19,041

    Default Re: Association Won 18 Million to Repair Homes

    The suit you mention is a loss for the Association. It pretty much says that the policy your contractor had did not cover new construction and hence the insurer has no obligation to indemnify the builder. Perhaps you faired better in state court. The sad truth is that since the builder didn't have insurance and since they probably don't nave "multi millions" available to them, you won't get anything. Of course, since Troensa was a sub you might have an action against the general contractor. There's not enough details in the decision you posted.

    You're association is represented by attorneys (though I suspect they were overly optimistic in the Colony suit), you should be demanding answers from them.

  3. #3
    Join Date
    Jul 2018
    Posts
    1,395

    Default Re: Association Won 18 Million to Repair Homes

    Quote Quoting Demian6801
    View Post
    can I take legal action for the home not being built to code? For diminished value? Hazardous environment with mold? Heating bills for lack of insulation?
    Anyone can sue anyone for anything, but none of the things you mentioned are recognized causes of action. More importantly, if repairs are going to be done, what damages will you have?


    Quote Quoting Demian6801
    View Post
    Here is part of the association suit
    https://scholar.google.com/scholar_c...42217983882039
    This link is to an opinion by a federal court in a declaratory relief action between the builder and the builder's insurance company. While I assume the opinion contains some facts about the state court action between your HOA and the builder, the opinion is primarily about insurance coverage issues. Also, given "flyingron's" description of the outcome of the insurance coverage suit, there is a very real possibility that an $18 million judgment in favor of the HOA and against the builder could put the builder into bankruptcy.


    Quote Quoting Demian6801
    View Post
    Besides the home being fixed am I entitled to be compensation?
    You'll have to consult with a local attorney about this. It's possible that the HOA's lawsuit will preclude any actions by individual homeowner.

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