This bill proposes significant updates to current statutes concerning construction defects and condominium property in Arizona. It modifies the statute of limitations for actions based on construction defects, reducing the time frame from eight years to five years for properties regulated under title 33, chapter 9. The bill also introduces a new process for purchasers to provide written notice of claims, which includes requirements for maintenance records and allows sellers to inspect properties before legal action is initiated. Additionally, it clarifies the conditions under which a seller can make a remedy offer and outlines the obligations of both parties during the repair process, while also including provisions for tolling of statutes of limitations during the notice and repair process. In terms of condominium associations, the bill adds requirements for associations to provide detailed descriptions of affected units or common elements, including their physical condition and any prior modifications or repairs, before voting on legal action. It mandates that associations deliver written notice of the anticipated construction defect action to all unit owners and relevant parties at least fifteen days before the meeting, detailing the nature of the defect and associated costs. The bill also establishes the rights of developers and construction professionals to attend meetings and respond to inquiries, while requiring a two-thirds affirmative vote from eligible unit owners to commence any action. Definitions related to “construction defect” and “construction professional” are clarified to ensure consistent application. The act is set to take effect on December 31, 2026.

Statutes affected:
Introduced Version: 12-552, 12-1361, 12-1362, 12-1363.01, 32-1162, 33-1242.01, 32-1155, 12-505, 33-1241, 32-2101, 12-1363, 12-1366, 6-801, 32-1138