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Version: 2011.07.01

X. Definitions

Builder​

Builder means Classic Homes, the individual, partnership, corporation or other entity, which participates in the Warranty Program administered by the Professional Warranty Service Corporation and provides You with this Limited Warranty. Throughout this document the Builder is also referred to as "We", "Us" and "Our(s)".

Common Elements​

Common Elements means the property as specified in the recorded Covenants, Conditions and Restrictions as common area and any other property the Homeowners Association has standing under the law to make a claim on. This may include, but is not limited to, streets, the structure or components of enclosure or other spaces that are for the common use of the residents of the development in which the home is located. Systems serving two or more homes, and the outbuildings that contain parts of such System are also included in this definition.

Consequential or Incidental Damages​

Consequential or Incidental Damages means any loss or injury other than:

  • A. Our cost to correct a construction defect including the correction of those surfaces, finishes and coverings damaged by the construction defect;
  • B. Our cost of repair or replacement of furniture, carpet or personal property damaged by the construction defect. Should replacement be necessary, Our obligation is limited to replacement with items providing the same function and quality and that are readily available at the time the item is being replaced;
  • C. Our costs of removal or replacement in order to repair or replace a construction defect;
  • D. The reasonable cost of the Homeowner's alternative shelter where the home is inhabitable due to a construction defect or where the home is rendered inhabitable by the repair of the construction defect.

Diminished market value is considered "Consequential or Incidental Damage" and is excluded under this Limited Warranty unless We elect this remedy in lieu of the repair, replacement or other payment as to a construction defect.

Construction Defect(s)​

Construction Defect(s) means a flaw in the materials or workmanship used in constructing the home that:

  • materially affects the structural integrity of the home or common elements; or
  • has an obvious and material negative impact on the appearance of the home or common elements; or
  • jeopardizes the life or safety of the occupants; or
  • results in the inability of the home or the common elements to provide the functions that can reasonably be expected in a residential dwelling.

We and any arbitrator assigned to rule relative to a construction defect will consider both this definition and Section III – A. (Standards By Which the Presence of a construction defect will be determined) in determining the existence of a construction defect. A flaw is a construction defect if either We or an arbitrator conducting a binding arbitration hearing declares the flaw to be a construction defect. Our obvious and visible failure to complete the construction of the home or common elements, any portion of the home or common elements is not a construction defect.

Consumer Product​

Consumer Product means any item of equipment, appliance or other item defined as a consumer product in the Magnuson-Moss Warranty Act (15 U.S.C.§. 2301, et seq.) Examples of Consumer Products include, but are not limited to dishwasher, garbage disposal, gas or electric cook-top, range, range hood, refrigerator or refrigerator/freezer combination, gas oven, electric oven, microwave oven, trash compactor, garage door opener, clothes washer and dryer, hot water heater, furnace, air conditioner and thermostat.

Emergency Condition​

Emergency Condition means an event or situation that creates the imminent threat of damage to the home or common elements, or results in an unsafe living condition due to a construction defect that You (or as applicable, the homeowners association) become aware of at a point in time other than Our normal business hours and You were unable to obtain Our or Our authorized representative's prior written approval to initiate repairs to stabilize the condition or prevent further damage.

Home​

Home means a single family residence either attached or detached covered by this Limited Warranty or a condominium or cooperative unit in a multi-unit residential structure/building covered by this Limited Warranty.

Home Builders Limited Warranty​

Home Builders Limited Warranty means only this express warranty document provided to You by Us.

Homeowner​

Homeowner means the first person(s) to whom a home (or a unit in a multi-unit residential structure/building) is sold, or for whom such home is constructed, for occupancy by such person or such person's family, and such person's successors in title to the home or mortgages in possession and any representative of such person(s) who has standing to make a claim on that person(s) behalf, including any class representative or homeowners association making a claim in a representative capacity.

Homeowners Association​

Homeowners Association means a profit or nonprofit corporation, unincorporated association, organization, partnership, assessment district, Limited Liability Company, limited liability partnership or other entity of any kind that owns, manages, maintains, repairs, administers, or is otherwise responsible for and has standing to make a claim as to any part of the common elements.

Pollutants​

Pollutants mean all solid, liquid, or gaseous irritants or contaminants. The term includes, but is not limited to, petroleum products, smoke, vapors, soot, fumes, acids, alkalis, toxic chemicals, radon gas, and waste materials, including materials to be recycled.

Systems​

Systems mean the following:

  • (a) Plumbing system - gas supply lines and fittings; water supply, waste and vent pipes and their fittings; septic tanks and their drain fields; and water, gas and sewer services piping and their extensions to the tie-in of a public utility connection or on-site well and sewage disposal system.
  • (b) Electrical system - all wiring, electrical boxes, switches, outlets, and connections up to the public utility connection.
  • (c) Heating, Cooling, and Ventilation system - all ductwork; steam, water and refrigerant lines; and registers, connectors, radiation elements and dampers.

Warranty Period​

Warranty Period shall commence on the date the title for the home is transferred to the first Homeowner. Notwithstanding anything to the contrary set forth in this Limited Warranty, the Warranty Period for the common elements of an individual structure/building commences on the date the title for the first home in the structure/building is transferred to the first Homeowner or as concerns clubhouses or outbuildings or other common elements not part of the home the date the title to these structures is transferred to the Homeowners Association.