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Construction Law Authority / Articles posted by Thomas Code

Engaging in Contracting as a Business Organization

Section 489.105(13), Florida Statutes defines a “Business Organization” as “any partnership, corporation, business trust, joint venture, or other legal entity which engages or offers to engage in the business of contracting or acts as a contractor as defined in this section.” This definition is used in Section 489.119(2) of the Statute as follows: “If the applicant proposes to engage in contracting as a business organization, including any partnership, corporation, business trust, or other legal entity, or in any name other than the applicant’s legal name or a fictitious name where the applicant is doing business as a sole proprietorship, the applicant must apply for registration or certification as the qualifying agent of the business organization.” Effective October 1, 2009, the Department of Business and Professional Regulation eliminated the requirement for a separate business license for construction companies in Florida. However, contractors are still required to qualify construction businesses with their license and provide background...

What You Need to Know about Home Inspectors

The law now requires that Home Inspectors be licensed by the Department of Business and Professional Regulation (“DBPR”). Inspection services through a corporation or partnership is allowed provided that all personnel of the corporation or partnership who act on its behalf as Home Inspectors are licensed by the DBPR. Licensed home inspectors are treated by the DBPR similar to licensed contractors. Home Inspectors are now subject to disciplinary actions and must maintain a commercial general liability insurance policy in an amount of not less than $300,000.00.  Of note is the fact that the Home Inspectors law requires that after completion of a home inspection for compensation, the Home Inspector must provide a written report to the client. The report must indicate (1) the systems and components inspected that in his professional opinion are significantly deficient or are near the end of their useful life; (2) if not self-evident, the reason why the system or component...

Lender Beware, Part III

A lender who becomes the seller of new homes acquired from his defaulting builder or developer may be exposed to liability for construction defects whether or not the lender actively participated in any aspect of the original construction....