Villas at the Boulders Association v. Lennar Corp. (Colorado)
At issue is the interpretation of Colorado’s statute of repose for community associations. Villas at the Boulders Association received a favorable order from the District Court stating that Colorado’s six-year statute of repose in construction defect cases begins to run upon the issuance of the certificate of occupancy for the final building developed in the association. However, the interpretation of the statute urged by Lennar would be to have a separate statute of repose period for each building in the project based upon the individual certificate of repose for that building. Lennar is seeking to gain approval of this interpretation from the appellate court.
Ultimately, Lennar’s proposed interpretation would be devastating for Colorado community associations suffering from construction defects because it would significantly shorten the deadlines for associations to file construction defect lawsuits and create multiple deadlines for a single community association. This would encourage premature litigation and/or multiple lawsuits in the same association, shift the liability for builder caused construction defects to community associations, and interfere with community association homeowners and potential purchasers from obtaining financing. All of these consequences could result in reduction in property values for Community Associations. For these reasons, other states, including California and New Jersey, have rejected the building-by-building approach urged by Lennar.
Brief: Pending
Prior Ruling: District Court Decision
Status: Pending
CAI Amicus Brief Author: Winzenburg, Leff, Purvis & Payne
CAI Amicus Brief Review Committee: Richard Ekimoto, Esq; Stephen Marcus, Esq; Laurie Poole, Esq; David Ramsey, Esq; Steve Weil, Esq.