Recovery Fund (2016 Update)

22 Jan

Recovery Fund (2016 Update)

Governor Rick Scott recently signed House Bill 535, which includes important updates to sections 489.1401-143, F.S., permitting payments to injured residential consumers from the Florida Homeowners Recovery Fund for both Division I and Division II scopes of work.

Effective July 1, 2016, all licensed contractors, both Division I and Division II, must ensure that the Florida Homeowner Construction Recovery Fund Notice is contained in their residential contracts.

Governor Rick Scott recently signed House Bill 535, which includes important updates to sections 489.1401-143,F.S., permitting payments to injured residential consumers from the Florida Homeowners Recovery Fund for both Division I and Division II scopes of work. Effective July 1, 2016, all licensed contractors, both Division I and Division II, must ensure that the Florida Homeowner Construction Recovery Fund Notice is contained in their residential contracts. According to section 489.1425(1): Each agreement or contract for repair, restoration, improvement, or construction to residential real property must contain a written statement explaining the consumer’s rights under the recovery fund, except where the value of all labor and materials does not exceed $2,500.

The written statement must be substantially in the following form: FLORIDA HOMEOWNERS’ CONSTRUCTION RECOVERY FUND PAYMENT, UP TO A LIMITED AMOUNT, MAY BE AVAILABLE FROM THE FLORIDA HOMEOWNERS’ CONSTRUCTION RECOVERY FUND IF YOU LOSE MONEY ON A PROJECT PERFORMED UNDER CONTRACT, WHERE THE LOSS RESULTS FROM SPECIFIED VIOLATIONS OF FLORIDA LAW BY A LICENSED CONTRACTOR. FOR INFORMATION ABOUT THE RECOVERY FUND AND FILING A CLAIM, CONTACT THE FLORIDA CONSTRUCTION INDUSTRY LICENSING BOARD AT THE FOLLOWING TELEPHONE NUMBER AND ADDRESS:

Construction Industry Licensing Board

2601 Blairstone Road Tallahassee, FL 32399-1039

850-487-1395

You may review all changes made to the Florida Homeowners’ Construction Recovery Fund by House Bill 535 at the following link: Laws of Florida Chapter 2016-129

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