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YOUR NEW HOME WORKMANSHIP, SYSTEMS AND STRUCTURAL WARRANTY

BBSP_5307_SM_011918

BBSP_5307_SM_011918

SECTION I. Your Warranty Booklet andWarrantyValidationCertificate

SECTION II. TheWarrantiesProvidedBy Your Builder

SECTION III. ReportingaWarrantyClaim

SECTION IV. TheOptionToRepair,ReplaceorPayForDefectand/orStructuralDefect

SECTION V. TheEffectofthisWarrantyonYourLegalRights

SECTION VI. ArbitrationofDisputes

SECTION VII. YourResponsibilitiesUnderThisExpressLimitedWarranty

SECTION VIII. Exclusions

SECTION IX. ManufacturersandOtherSimilarWarranties

SECTION X. ConstructionPerformanceGuidelines

TABLE OF CONTENTS

BBSP_5307_SM_011918

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BBSP_5307_SM_011918 1

SECTION I. YOUR WARRANTY BOOKLET AND WARRANTY VALIDATION CERTIFICATE.ThisbookletandtheWarrantyValidationCertificateareveryimportantlegaldocumentsthatfullydefinetheprovisionsofYourBuilder’sexpresslimitedwarranty,YourrightsandYourBuilder’srightsandobligations.Therefore,itisimportanttokeepthisbookletandtheWarrantyValidationCertificatewithotherlegaldocumentsthatareimportanttoYou.

Yourwarrantyisnotapolicyofinsurance,amaintenanceagreementoraservicecontract.IfYouhaveamortgageonYourHome,YourlendermayinsistthatYouhaveahomeowners’insurancepolicy.Thiswarrantyisnotahomeowners’insurancepolicyanditwillnotsatisfythelender’srequirement.

TheprovisionsofthiswarrantymaynotbechangedbyYourBuilderorbyanyotherperson.Ifanyprovisionofthiswarrantyisfoundtobeunenforceable,however,theremainingprovisionswillremaininfullforceandeffect.

A. TRANSFERRING YOUR BUILDER’S EXPRESS LIMITED WARRANTY.IfYousellYourHomeduringthetermoftheexpresslimitedwarranty,thiswarrantywillbetransferredtothenextowner,andanysubsequentowners.ThismeansallofYourrightsandobligationsunderthiswarranty,uptotheremainingamountoftheWarrantyLimit,willtransfertoeachpurchaserofYourHomeoranypersonwhootherwiseobtainstitletoYourHome,includinganymortgageeinpossession,fortheremainingtermofthewarranty.

WhenYousellYourHome,YouagreetogivethisbookletandtheWarrantyValidationCertificatetoYourbuyerinordertomakeitpossibleforthebuyertounderstandhisorherrightsandfulfillhisorherobligationsundertheprovisionsofthisexpresslimitedwarranty.

IfYouareasuccessiveowneroftheHome,Youmaybenefitfromthecoverageprovidedbythisexpresslimitedwarranty,butinreturnYouareboundbyallofthetermsandconditionsofthiswarrantyincludingbutnotlimitedtotheproceduresthatmustbefollowedtomakeaclaimandtheobligationtoparticipateinarbitrationassetoutinthiswarranty.ToregisterthewarrantyinYournamepleasecompleteandmailtheSuccessiveHomeownerRegistrationandArbitrationAcceptanceFormalongwithacheckfor$20.00toBBSPAdministratorattheaddressshownontheform.RegistrationinYournameisnotrequiredtomaintainwarrantycoverage.

B. WORDS WITH SPECIAL MEANINGS.Generallyspeaking,thewordsusedinthiswarrantyhavetheirnormaleverydaymeaning.Insomecases,however,awordwillbeusedasshorthandtospecificallydescribeoneofthekeyprovisionscontainedinthisexpresslimitedwarranty.Inthosecases,thewordswillbecapitalized,andthecapitalizedwordwillalwayshavethesamespecialmeaning.

Mostdefinedtermsaredescribedinthissection,however,othersectionsofthiswarrantybookletmaycontainotherdefinedterms.Thewordsbeinggivenaspecialmeaninginthissectionareasfollows:

“BBSPAdministrator”isHomeBuyersWarrantyCorporation.TheBBSPAdministratorprocessesYourBuilder’senrollmentoftheHomeintotheBuilderBackedServiceProgram(“BBSP”)andissuestheWarrantyValidationCertificate.TheBBSPAdministratorisalsoavailabletoansweranyquestionsYoumayhaveaboutthisbookletandtohelpYoucontactYourBuilderifYouhavebeenunsuccessfulindoingso.TheexpresslimitedwarrantydescribedinthisbookletissolelyprovidedbyYourBuilder.TheBBSPAdministratorisnotprovidingYouwithanywarrantieswhatsoevernoristheBBSPAdministratorprovidinganyinsuranceorotherbackingforYourBuilder’sobligationsunderthisBookletandtheBBSP.TheBBSPAdministratordoesnotadjudicate,adjust,ormakeanyclaimdeterminationsundertheBBSP.

“Builder”meanstheHomeBuilderlistedontheWarrantyValidationCertificate,andisthepersonorcompanyprovidingYouwiththisexpresslimitedwarranty.

“WarrantyValidationCertificate”isthedocumentissuedbytheBBSPAdministratorconfirmingthatYourBuildertookallstepsrequiredtomaketheexpresslimitedwarrantyonYourHomeeffective.

“CommonElement”meansanyportionofaMulti-FamilyBuildingwhichisdefinedasacommonelementineithercommoninterestownershiplawsorinthedeclarationestablishingsuchcommunity.UnlessexcludedinSectionVIII.,CommonElementsmayinclude,withoutlimitation,hallways,roofs,exteriorfinishes,andelectrical,plumbing,andmechanicaldistributionsystems.

“CommonElementDateofWarranty”meanstheearlierofthedateacertificateofoccupancyisissuedfortheMulti-Family

BUILDER’S EXPRESS LIMITED WARRANTY

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Buildingorthedateaunitinthebuildingisfirstoccupied.

“CommercialSpace”meansanyunitwithinaMulti-FamilyBuildingthatisusedprimarilyforanon-residentialpurpose,including,withoutlimitation,clubhousesandrecreationalfacilities.

“ConstructionPerformanceGuidelines”meantheperformancestandard(s)setforthinSectionX.thattheHomeorelementorcomponentmustsatisfy.

“Defect”meansafailuretomeettheConstructionPerformanceGuidelinesforworkmanshiporsystemssetforthinSectionX.

“EffectiveDateofWarranty”meansthedatetheexpresslimitedwarrantygoesintoeffect.Thatdatewillbetheearliestof:(1)theclosingdateonwhichYoupurchasedtheHome,or(2)thedateanyonefirstbeganlivingintheHomeifbeforeYourclosingdate.

“Home”meansthedwellingunitandgarage(ifany)ortheCommercialSpace(ifany)locatedattheaddressshownintheWarrantyValidationCertificate.

“Multi-FamilyBuilding”isabuildinginacommoninterestcommunitythatmayconsistofdwellingunits,sharedparkingspaces,CommercialSpace(s)and/orCommonElements.

“StructuralDefect”isdefinedinSectionII.B.ofthiswarrantybooklet.

“You”,“Your”,andsimilarwordsmeansthepersonorpersonswhoarethelegalownersoftheHomecoveredbythisexpresslimitedwarranty.

“WarrantyLimit”istheaggregatefinancialobligationoftheBuilderforallclaimsunderthiswarrantyandisthesumstatedontheWarrantyValidationCertificate.

SECTION II. THE WARRANTIES PROVIDED BY YOUR BUILDER. A. ONE YEAR WORKMANSHIP AND TWO YEAR SYSTEMS WARRANTY. YourBuilderisprovidingaoneyearworkmanshipandtwoyearsystemsDefectwarrantyforYourHome.ThismeansthatYourHomewillbefreefromDefectsinmaterialsandworkmanshipforoneyearasdefinedintheConstructionPerformanceGuidelinesinSectionX.;andfortwoyearsYourHomewillbefreefromDefectsintheelectrical,plumbing,andmechanicaldistributionsystemasstatedinSectionX.TheworkmanshipwarrantyshallexpireoneyearfromtheEffectiveDateofWarranty;andthesystemswarrantywillexpiretwoyearsfromtheEffectiveDateofWarranty.

WORKMANSHIPExamplesofitemstypicallycoveredundertheone(1)yearworkmanshipwarranty.

RoofingCabinets

Countertops Drywall & Paint

Interior Trim

Finished Floor Surfaces

Basement Floor

Ceramic Tile

Door Panels

Exterior Siding

Windows

BBSP_5307_SM_011918 3

Load-Bearing Walls

Beams

Roof Framing

Floor Framing Systems

Foundation Systems

Girders

Columns

B. TEN YEAR STRUCTURAL DEFECT WARRANTY. YourBuilderisprovidingaStructuralDefectwarranty.ThismeansthattheBuilderwarrantsthatYourHomewillbefreefromStructuralDefects(asdefinedbelow)fromtheEffectiveDateofWarrantyforaperiodoftenyearsthereafter.

StructuralDefectisdefinedasactualphysicaldamagetothedesignatedload-bearingelementoftheHomecausedbythefailureofsuchload-bearingelementwhichaffectstheirload-bearingfunctionstotheextentthatYourHomebecomesunsafe,unsanitary,orotherwiseunlivable.Thisiscoveragesolelyforcatastrophicfailureofload-bearingelementsofYourHome.Thedesignatedload-bearingelementsthatarecoveredundertheStructuralDefectwarrantyarelimitedto:

1.FootingsandFoundationsystems;2.Beams;3.Girders;4.Lintels;5.MasonryArches;6.Columns;7.Load-bearingwallsandpartitions;8.Roofframingsystems;and9.Floorsystems.

TheremainingelementsofYourHomearenotload-bearingelementsunderthisStructuralDefectwarranty.Anon-exclusivelistofsomeofthenon-load-bearingelementsinYourHomenotcoveredbythisStructuralDefectwarrantyare:

1. Non-load-bearingpartitionsandwalls;2. Walltileorpaper,etc.;3. Drywallandplaster;4. Flooringandsub-flooringmaterial;5. Stucco,brickandstoneveneer;6. Anytypeofexteriorsiding;7. Roofshingles,rooftiles,sheathing,andtarpaper;8. Heating,cooling,ventilating,plumbing,electricalandmechanicalsystems;9. Appliances,fixturesoritemsofequipment;10. Doors,trim,cabinets,hardware,insulation,paint,stains;and11. Basementandotherinteriorfloating,ground-supportedconcreteslabs.

LOAD BEARING ELEMENTSExamplesofloadbearingelementstypicallycoveredunderthe10yearstructuralwarranty.

SYSTEMSExamplesofitemstypicallycoveredunderthetwoyearsystemswarranty.

Electrical Wiring

Ductwork

Supply Piping

Waste Piping

BBSP_5307_SM_011918 4

C. INDIANA RESIDENTS.IfYourHomeislocatedintheStateofIndiana,YourHomewillbefreefromDefectsinmaterialsandworkmanshipasdefinedintheConstructionPerformanceGuidelinescontainedinSectionX.ofthisbookletforaperiodoftwoyearsfromtheEffectiveDateofWarranty,andtheroofonYourHomewillbefreefromDefectsinfaultyworkmanshipordefectivematerialsforaperiodoffouryearsfromtheEffectiveDateofWarranty.Allotherprovisionsofthiswarrantyremainthesame.

D. FLORIDA RESIDENTS. IfYourHomeiscontainedwithinaMulti-FamilyBuildinglocatedinthestateofFlorida,YourHomewillbefreeofDefectsinmaterialsandworkmanshipasdefinedintheConstructionPerformanceGuidelinescontainedinSectionX.ofthiswarrantybookletforaperiodofthreeyearsfromtheEffectiveDateofWarranty,unlessmodifiedbystatelaw.Allotherprovisionsofthiswarrantyremainthesame.

SECTION III. REPORTING A WARRANTY CLAIM.A. IfYoubelieveYourHomehasaDefectthatiscoveredunderYourBuilder‘soneyearworkmanshiportwoyearsystemswarrantythatoccurredduringtheapplicabletermofthewarranty,YoumusttakethestepsdescribedinthisSectionIII.C.1.

B. IfYoubelieveYourHomehasaStructuralDefectthatiscoveredunderYourBuilder’sStructuralDefectwarranty,YoumusttakethestepsdescribedinSectionIII.C.2.NoticeofStructuralDefectmustbemadebythehomeowner,exceptforMulti-FamilyBuildings,inwhichcasenoticeforeachaffectedbuildingmustbemadebythehomeowners’associationoritsdesignatedrepresentative,alongwithacopyoftheWarrantyValidationCertificateforeachHomeinthebuilding.

C. NOTICE TO YOUR BUILDER.1. WorkmanshipandsystemsDefect(s)mustbereportedtotheBuilderassoonaspossiblebutnolaterthan15daysafter

theexpirationoftheapplicabletermofthewarranty.SendwrittennotificationtoYourBuilderlistingcompletelythespecificDefect(s)andthedatetheDefect(s)occurred.TheDefectwillnotbecoveredunderthiswarrantyifthenoticeisreceivedmorethanfifteen(15)daysaftertheexpirationofthewarrantyterm.Thesetimelimitsareamaterialconditionofthiswarranty.Itisrecommended(butnotrequired)thatYourletterbesentbycertifiedmail,returnreceiptrequestedsoYouhavearecordofwhenYourletterwassentandreceived.

NoticetoBBSPAdministrator.IfcoveredrepairsfortheworkmanshiporsystemDefectsarenotcompletedbyYour Builderwithinsixty(60)daysofthedateYousentYourletterorbeforetheexpirationofthewarrantyterm(whichever datecomesearlier),Youmustcompletethefollowingthreesteps: a.CompletetheNoticeofComplaintForm(“Notice”),whichisfoundatthebackofthiswarrantybooklet. b.SendonecopyoftheNoticetoYourBuilder. c.SendonecopyoftheNoticetoBBSPAdministrator,andinclude: 1.AcopyofYourWarrantyValidationCertificate;and 2.AcopyofallcorrespondencewithYourBuilderregardingtheDefect(s)inquestionto: BuilderBackedServiceProgramAdministrator WarrantyAdministrationDepartment 13900E.HarvardAve. Aurora,CO80014 Phone:855.429.2109 Email:[email protected]

WerecommendedthatYousendthisnoticebycertifiedmail,returnreceiptrequested,soYouhavearecordofwhenthe noticewassentandreceived.

OncetheBBSPAdministratorhasreceivedYourNotice,itwillagainnotifyYourBuilderofYourDefect(s).IfYouandYourBuilder stillcannotresolveYourdifferencesevenwithBBSPAdministrator’sconciliationhelp,thenYouandYourBuildermustarbitrateYourdisputeunderthearbitrationagreementsetforthinthisbooklet.BBSPAdministratorwillprovideaformforYoutorequestarbitration.IfYourBuilderinformstheBBSPAdministratorthatitcannotorwillnotparticipateinarbitration,orthatitwillnotpayorperformanarbitrationawardinYourfavor,thentheBBSPAdministratorwillusereasonableeffortstopromptlynotifyYouofthatfact.

2. StructuralDefect(s)mustbereportedtotheBuilderassoonaspossiblebutnolaterthanthirty(30)daysafterthe expirationoftheapplicabletermofthewarranty.SendwrittennotificationtoYourBuilderlistingcompletelythespecific StructuralDefect(s)andthedatetheStructuralDefect(s)occurred.AStructuralDefectwillnotbecoveredunderthis warrantyiftheNoticeisreceivedafterthatdate.Thesetimelimitsareamaterialconditionofthiswarranty.Itis recommendedthatYourletterbesentbycertifiedmail,returnreceiptrequestedsoYouhavearecordofwhenYour letterwassentandreceived.

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SECTION IV. THE OPTION TO REPAIR, REPLACE OR PAY FOR DEFECT AND/OR STRUCTURAL DEFECT.A. PROVISIONS APPLICABLE TO DEFECT AND/OR STRUCTURAL DEFECT.TheBuildershallhavetheoptiontorepair,replaceorpayYouthereasonablecostofrepairofanyDefectorStructuralDefect.Thedesign,methodandmannerofsuchrepairshallbewithinthesolediscretionoftheBuilder.AtthetimetheBuildercompletestherepair,replacementorpaymentfortherepairofanyDefectorStructuralDefect,Youmust:

1)AssigntotheBuilderanyrightsYoumayhaveagainstanyotherpersonwithrespecttotheDefectorStructuralDefect.Youmustnotdoanythingtoprejudicetheserightsofsubrogation.

2)SignanddeliverafullandunconditionalreleaseoftheBuilder,inrecordableform,ofalllegalobligationswithrespecttothewarranteditemsandconditionsarisingfromthoseitems.

Ifanimprovement,fixtureorpropertynotconstructedbytheBuilderisdamagedorrequiresremovalduringtherepair,itisYoursoleresponsibility,andnottheresponsibilityoftheBuilder,topayforthecostofrepairorremovalofsuchimprovement,fixtureorproperty.NorepairshallextendthetermofthisexpresslimitedwarrantyastoanyDefectorStructuralDefect,includingwithoutlimitation,theDefectorStructuralDefectthatwasthesubjectoftherepair.

B. ADDITIONAL PROVISIONS APPLICABLE TO THE REPAIR OF STRUCTURAL DEFECT.TherepairofaStructuralDefectislimitedto:

1. Repairofdamagetotheload-bearingportionsofYourHomenecessarytorestoretheirload-bearingfunction,2. Repairofthosenon-load-bearingportionsdamagedbytheStructuralDefectandwhoserepairisnecessarytomakeYour

Homeonceagainsafe,sanitary,orotherwiselivable(suchastherepairofinoperablewindows,doorsandtherestorationoffunctionalityofdamagedelectrical,plumbing,heating,coolingandventilatingsystems),and

3. Repairandcosmeticcorrectionofonlythosesurfaces,finishesandcoverings,withdamagedirectlyattributabletotheStructuralDefectprovidedthesurfaces,finishesorcoveringsareoriginalwiththeHome,andtheyweredamagedbytheStructuralDefectorrequireremovalandreplacementtorepairtheStructuralDefect.

RepairsofStructuralDefectareintendedtorestoretheHometoapproximatelytheconditionjustpriortotheStructuralDefect,butnotnecessarilytoalike-newcondition.

C. ACCESS TO YOUR HOME FOR INSPECTING AND MAKING REPAIRS.Inordertocarryoutthewarrantyresponsibilities,theBuilderwillrequireaccesstoYourHome.IfYourHomeisinaMulti-FamilyBuilding,Youagree(afterreasonablenotice)toallowaccessto,orwithinYourHomeduringnormalbusinesshourssorepairsmaybemadetoanyadjacentunitorCommonElement.IfemergencyrepairsarenecessaryandYoucannotbereachedwithinareasonabletimeperiod,Youwaivesuchnotice.IfYoudonotprovideaccesstoYourHomeduringnormalbusinesshourstoinspect,repair,orconducttestsonYourHomeasmayberequiredtoevaluateorrepairaDefectorStructuralDefect,YouarerelievingtheBuilderofallresponsibilitytomakerepairs,replaceorpayforanyDefectorStructuralDefectunderthiswarranty.

InadditiontotherighttoinspectYourHometheBuildershallhavetheright,inadvanceofanyarbitrationconcerningYourHome,tore-inspectYourHomeiftherequestforarbitrationismademorethan60daysafterthelastclaimdecisionconcerningtheclaimthatisthesubjectofthearbitration.

D. THE LIMITS OF YOUR WARRANTY.EverytimeYourBuilderpaysaclaimunderthiswarranty,theamountofthatpaymentisdeductedfromtheWarrantyLimit.WhentheWarrantyLimitisexhausted,thereisnolongerwarrantycoverageforYourHome.AclaimpaymentincludesthecosttotheBuilderofrepairingaDefectorStructuralDefectinYourHomecoveredunderthiswarranty.

IftheclaimpaymentisforaCommonElementsDefectorCommonElementsStructuralDefect,theWarrantyLimitoneachHomeintheMulti-FamilyBuildingstillcoveredbyanunexpiredwarrantyshallbereducedpro-rataintheproportionwhichtheCommonElementsclaimpaymentbearstothetotaloriginalsalespriceofallsuchHomes.

AnycoverageforYourBuilder’sexpresslimitedwarrantyshallbeexcessofanyothervalidandcollectiblesavailabletoYouorYourBuilder,whetherprimary,pro-rataorexcess,andwhetherornotcollected.

E. EMERGENCY REPAIRS.AnemergencymeansasubstantialriskofseriousphysicaldamagetotheHomeorasubstantialriskofseriousbodilyinjurytoitsoccupantsifaDefectorStructuralDefectisnotimmediatelyrepaired.IfYouhaveanemergencyinvolvingaDefectoraStructuralDefect,YoumustcontactYourBuilderimmediately,whoisresponsibleformakingemergencyrepairsorauthorizingYoutomakeemergencyrepairs.IfYouareunabletocontactYourBuilder,Youmustthen(1)makeminimalrepairsnecessarytoavoidtheemergencyuntilauthorizationformoreextensiverepairshasbeenapprovedbyYourBuilder,(2)takeanyactionreasonablynecessarytolimitadditionaldamage,and(3)reporttheemergencytotheBuilderonthenextbusinessday.

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ExceptforauthorizedemergencyrepairsdonotrepairorattempttorepairaclaimedDefectorStructuralDefectbeforetheBuilderhasanopportunitytoinspecttheDefectorStructuralDefect.AnyattempttorepairaclaimedDefectorStructuralDefect,otherthananauthorizedemergencyrepair,willmakeitimpossibletoassesswhethertheDefectorStructuralDefectwascoveredbythiswarranty,whethertherepairwascorrect,cost-effective,necessary,andeffective,orwhethertheproblemcouldberesolvedinanotherway.UnlessanemergencyDefectorStructuralDefectrepairisauthorized,theBuilderwillhavenoresponsibilitytoreimburseanycostsduetorepair,replacement,andexpenses,includingengineeringandattorney’sfees.

SECTION V. THE EFFECT OF THIS WARRANTY ON YOUR LEGAL RIGHTS.TothefullestextentpermissiblebytheapplicablelawYouhaveacceptedthisexpresslimitedwarrantyprovidedinthisbookletasyoursoleandexclusivewarrantyforDefectsandStructuralDefects.Allotherimpliedwarranties,including,butnotlimitedto,oralorwrittenstatementsorrepresentationsmadebyYourBuilderoranyimpliedwarrantyofhabitability,merchantabilityorfitness,aredisclaimedbyYourBuilderandwaivedbyYoutotheextentpossibleunderthelawsofYourstate.YoumayhaveotherremediesasprovidedunderthelawofthestatewheretheHomeislocated.

*California:Theprotectionprovidedunderthiswarrantyisnotinlimitationof,butisinadditiontoanyotherrightsprovidedtoYouunderCalifornialaw.*Kansas:YouhavenotwaivedtheimpliedwarrantiesandthewarrantyisnotYourexclusiveremedy.YoumayhaveotherremediesasprovidedtoYouunderKansaslaw.*Florida:UnitslocatedinMulti-FamilyBuildingsmayhaveadditionalstatutoryprotectionunderFloridalaw.*Oregon:UnitslocatedinMulti-FamilyBuildingsmayhaveadditionalstatutoryprotectionunderOregonlaw.

SECTION VI. ARBITRATION OF DISPUTES.Toexpeditetheresolutionofanyandallclaims,disputesandcontroversiesinvolvingYou,theBuilder,orBBSPAdministratorarisingoutoforotherwiserelatingtothiswarrantyortheBuilderBackedServiceProgramshallbesettledbybindingarbitrationpursuanttothisself-executingarbitrationagreement.AgreeingtoarbitrationmeansYouarewaivingYourrighttoajurytrial,classactionorconsolidation.Anypartyshallbeentitledtorecoverreasonableattorney’sfeesandcostsincurredinenforcingthisarbitrationagreement.Thedecisionofthearbitratorshallbefinalandbindingandwill,ifnecessary,beenteredasajudgmentinanyStateorFederalcourtofcompetentjurisdiction.

A. SELECTING AN ARBITRATION SERVICE.ThearbitrationshallbeconductedbyDeMars&Associates,Ltd.(“DeMars”)orConstructionDisputeResolutionServices,LLC(“CDRS”).ThechoiceofDeMarsorCDRSshallbeYours,orifYouarenotinvolved,thepartywhoinitiatesthearbitration.Thearbitratingparties,bymutualagreement,mayselectanarbitrationserviceotherthanDeMarsorCDRS.

Thearbitrationshallbeconductedinaccordancewiththearbitrationrulesineffectwiththeselectedarbitrationservice.IfthestatewheretheHomeorMulti-FamilyBuildingislocatedhasastatutewhichmandatesthatarbitratorsprovidecertaindisclosuresrelatingtotheirpartialityand/orbiases,theselectedarbitratorshallbeobligedtoprovidesuchdisclosuresandmaybedisqualifiedandreplacedpursuanttotheproceduresetforthintheapplicablestate’sstatuterelatingtodisqualifyingpotentiallybiasedarbitrators.Thedisqualificationofanarbitratorwillnotrelieveanypartyboundbythisarbitrationagreementoftheobligationtoarbitratealldisputes.Followinganydisqualificationofanarbitrator,thepartieswillarbitratebeforeareplacementarbitrator.

NoarbitrationarisingoutoforotherwiserelatingtothiswarrantyortheBBSPshallinvolvemorethanoneHomeormorethanoneMulti-FamilyBuilding.Thearbitratorshallprepareawrittenarbitrationawardwhichsetsforthhisorherfactualfindingsandthereasonsonwhichhisorherdecisionisbased.

B. DISPUTES CONCERNING THE APPLICATION OF THIS ARBITRATION AGREEMENT.TheFederalArbitrationAct(9U.S.C.§1etseq.,(“FAA”))shallgovernthemeaningandenforceabilityofthisarbitrationagreementtotheexclusionofanystatelawrelatingtothemeaningorenforceabilityofarbitrationclausesoragreements.Anydisputesconcerningtheinterpretationorenforceabilityofthisarbitrationagreement,includingwithoutlimitation,itsrevocabilityorvoidabilityforanycause,thescopeofarbitrableissues,andanydefensebaseduponwaiver,estoppelorlaches,shallbedecidedbytheparties’appointedarbitrator.

C. COST OF ARBITRATION.Alladministrativefeesofthearbitrationserviceandfeesofthearbitratorshallbeequallyallocatedamongthearbitratingparties,subjecttothediscretionofthearbitratortoreallocatesuchfeesaswarrantedunderthesubstantivelawgoverningtheparties’controversy.

D. AUTHORITY OF ARBITRATOR.Thearbitratorshallnothavethepowertocommiterrorsoflaworlegalreasoning.Thus,withregardtothetort,contract,statutory,orequitabledisputearisingoutoforotherwiserelatingtothiswarrantyortheBBSP,thearbitratorshallrenderan

BBSP_5307_SM_011918 7

awardinaccordancewiththesubstantivelawgoverningtheclaims,disputesand/orcontroversiesbeingprosecutedbytheclaimant.Specifically,thearbitratorisauthorizedtoawardallreliefthatwouldotherwisebeavailableinajudicialforumtotheclaimantorrespondentiftheparties’controversywerelitigatedincourtratherthaninanarbitralproceeding.

E. FOR WARRANTIES ISSUED IN CALIFORNIA AND NEVADA.IfYourHomeorMulti-FamilyBuildingislocatedwithintheStateofCaliforniaorwithintheStateofNevada,thefollowingadditionalprovisionsshallbeoperative:

TheFAAshallgoverntheenforceabilityofthisarbitrationagreement,totheexclusionofanystatelaw(statutoryorjudicial).IfYourHomeorMulti-FamilyBuildingisinCalifornia,Arbitrationshallnot,underanycircumstances,bestayedordeniedenforcementbasedonanyofthegroundsrecognizedforstayingordenyingarbitrationunderCaliforniaCodeofCivilProcedure§1281.2(c).

Withrespecttothefinalityofanyresultingarbitrationaward,andwithrespecttotheproceduralandsubstantivelawsrelatingtotheprocessofmodifying,confirming,orvacatinganarbitrationawardissuedinconnectionwiththesubjectarbitrationagreement:ifYourHomeorMulti-FamilyBuildingisinCalifornia,thenCalifornialawasopposedtotheFAAshallbethegoverninglaw,andifYourHomeorMulti-FamilyBuildingisinNevada,thenNevadalawasopposedtotheFAAshallbethegoverninglaw.Specifically,itistheintentionofthepartiestohaveanyarbitrationawardsubjecttojudicialreview,aswasrecognizedinCableConnection,Inc.v.DIRECTV,Inc.(2008)44Cal.4th1334.Thus,thearbitratorshallprepareinwritingandprovidetothepartiesanawardwhichincludesfactualfindingsandthereasonsonwhichhisorherdecisionisbased.Thecourtshallhavethepowertoreview(a)whetherthefindingsoffactrenderedbythearbitratoraresupportedbysubstantialevidenceand(b)whether,asamatteroflawbasedonsuchfindingsoffact,theawardshouldbeconfirmed,correctedorvacated.Uponthecourt’sdeterminationthatthearbitrator’sfindingsaresupportedbysubstantialevidenceandthathisorherdispositionoftheparties’controversyisinaccordancewiththerelevantsubstantivelaw,judgmentshallbeenteredinfavoroftherelevantpartyconsistentwiththeaward.

SECTION VII. YOUR RESPONSIBILITIES UNDER THIS EXPRESS LIMITED WARRANTY.YouareresponsibleforpropermaintenanceofYourHomeincludingmaintainingBuilder-setgradesaroundtheHome,plantingtreesandshrubsattheproperdistancefromtheHome,andconformingtogenerallyacceptedlandscapepracticesforYourregion.YourBuilderisnotresponsibleforproblemsthatariseifYoudonotmeettheseresponsibilities.

Allnewhomesareconstructedofdissimilarmaterialswhichhavedifferentratesofexpansionandcontractionduetochangesintemperatureorhumidity.YourHomewillgothroughaperiodofsettlementandmovement,andmayexperiencesomeminormaterialshrinkage,crackingandothereventswhicharenormalandcustomary.

Examplesincludesmallcracksindrywallandpaint;andseparationwheredissimilarmaterialsmeeteachother—forexample,wheremoldingsmeetsheetrock,orwheretilegroutmeetsasink.Inmostcases,paintandcaulkingisallthatisnecessarytoconcealthesetypesofblemishesthatresultfromthenaturalexpansionandcontractionofconstructionmaterial.Becausetheseeventsarenormalandcustomary,theyarenotaDefectorStructuralDefectthatarecoveredbythisexpresslimitedwarranty.

SECTION VIII. EXCLUSIONS.UnlessYouandYourBuilderhaveagreedinwritingotherwise,thiswarrantydoesnotprovidecoverageforanyofthefollowingitems,whicharespecificallyexcluded.

1. DamagetolandandotherrealpropertythatwasnotpartofYourHome,oranypropertythatwasnotincludedinthepur-chasepricestatedontheWarrantyValidationCertificate.

2. DamagetoDefectsindriveways,boundarywalls,retainingwallsandbulkheads(exceptwhereboundarywalls,retainingwallsandbulkheadsarenecessaryforthestructuralstabilityoftheHome),decks,andporches,detachedcarports,oranyotherappurtenantstructureorattachmenttothedwelling,fences,landscaping(includingsod,seeding,shrubs,trees,plantings,andlawnirrigationsystems),swimmingpools,tenniscourts,outbuildings,andotherexteriorrecreationalfacilities,orotheraddi-tionsorimprovementsnotapartofYourHome.

3. LossordamagewhichariseswhileYourHomeisbeingusedprimarilyfornonresidentialpurposes.4. ChangesinthelevelofundergroundwatertablewhichwerenotreasonablyforeseeableatthetimeofconstructionofYour

Home.5. FailureofYourBuildertocompleteconstruction,orconstructionwhichisnoncompliantwithplansandspecifications,viola-

tionsoflocalornationalbuildingcodes,ordinancesorstandards.6. AnyconditionwhichhasnotresultedinactualphysicaldamagetoYourHome.7. Anylossordamagethatiscausedormadeworsebyanyofthefollowingcauses,whetheractingaloneorinsequenceor

concurrencewithanyothercauseorcauseswhatsoever,includingwithoutlimitation:a. Negligence,impropermaintenance,defectivematerialorworksuppliedby,orimproperoperationby,anyoneother

thanYourBuilderoritsemployees,agentsorsubcontractors,includingfailuretocomplywiththewarrantyrequire-mentsofmanufacturersofappliances,equipmentorfixtures;

b. YourfailuretogivepromptandpropernoticetoYourBuilderofanyDefectorStructuralDefect;

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c. Changeofthegradingofthegroundthatdoesnotcomplywithacceptedgradingpractices,orfailuretomaintaintheoriginalgrade;

d. Riotorcivilcommotion,war,terrorism,vandalism,hurricane,tornadoorotherwindstorm,fire,explosion,blasting,smoke,waterescape,tidalwave,flood,hail,snow,icestorm,lightning,fallingtreesorotherobjects,aircraft,vehicles,mudslide,landslide,avalanche,earthquake,orvolcaniceruption,mineshaft,sinkholesorgeologicalphenomenainvolvingsubsurface,slopeinstability;

e. AbuseoruseofYourHome,oranypartthereof,beyondthereasonablecapacityofsuchpartforsuchuse;f. Microorganisms,fungus,decay,wetrot,dryrot,softrot,rottingofanykind,mold,mildew,vermin,termites,insects,

rodents,birds,wildordomesticanimals,plants,corrosion,rust,radon,radiation,chemicalreaction,formaldehyde,asbestos,anysolid,liquidorgaseouspollutant,contaminant,toxin,irritantorcarcinogenicsubstance,whetheror-ganicorinorganic,andelectromagneticfieldoremission,includinganyclaimofhealthriskoruninhabitabilitybasedonanyoftheforegoing;or

g. Yourfailuretominimizeormitigateanydefect,condition,lossordamageassoonaspractical.8. Anylossordamagecausedbyburieddebris,undergroundsprings,sinkholes,mineshaftsorotheranomalieswhichwerenot

reasonablyforeseeableinabuildingsiteYouprovided.9. Losscaused,inwholeorinpart,byanyperiloroccurrenceforwhichcompensationisprovidedbystatelegislationorpublic-

funds.10. Costsofshelter,transportation,food,moving,storage,orotherincidentalexpensesrelatedtorelocationduringrepair,orany

othercostsduetolossofuse,inconvenience,orannoyance.11. DiminishedmarketvalueofYourHome.12. Anyandallconsequentiallossordamage,includingwithoutlimitation,anydamagetopropertynotcoveredbythiswar-

ranty,anydamagetopersonalproperty,anydamagetopropertywhichYoudonotown,anybodilyinjuryorpersonalinjuryofanykind,includingphysicalormentalpainandsufferingandemotionaldistress,andanymedicalorhospitalexpenses,orlostprofits.

13. AnyandallexclusionssetforthinSectionX.(ConstructionPerformanceGuidelines).14. AnyDefectorStructuralDefectfirstoccurringaftertheapplicabletermofthewarrantyexpires.15. DefectsorStructuralDefectsthatfirstoccurorYouknewaboutpriortotheEffectiveDateofWarrantysuchas“walk-

through”or“punchlist”items.

SECTION IX. MANUFACTURERS AND OTHER SIMILAR WARRANTIES. Yourwarrantydoesnotapplytoappliancesandmanufactureditemsofequipmentincluding,butnotlimitedto,heating,ventilation,andmechanicalequipment(exceptasspecificallydefinedintheConstructionPerformanceGuidelines)oranyotheritemwhichiscoveredbyamanufacturer’swarranty,nordoesitcoverdeficiencyinanysystemsthatarecausedbyfailureofanysuchapplianceormanufactureditem.YourBuilderassignstoYouallrightsundermanufacturers’warrantiesonappliancesanditemsofequipmentincludedinYourHome.

SECTION X. CONSTRUCTION PERFORMANCE GUIDELINES.A. WORKMANSHIP AND SYSTEMS. ThefollowingConstructionPerformanceGuidelinesapplyonlytotheoneyearworkmanshipandtwoyearsystemswarranty.TheConstructionPerformanceGuidelinesarestandardsthatYourBuilder’sconstructionshouldmeet.NoncompliancewiththeseconstructionguidelinescallsforcorrectiveactionbyYourBuilder.BuilderwillendeavortomatchandreplacewithYouroriginalchoiceofcolorsandmaterials,exceptwhereYoucustom-orderedtheitems.Buildercannotberesponsiblefordiscontinueditems,changesindyelots,colorsorpatterns,oritemsorderedoutsideoftheoriginalconstruction,ornormalwearanddeterioration.

ItisvirtuallyimpossibletodevelopConstructionPerformanceGuidelinesforeachpossibledeficiency.Therefore,theconstructionindustryandBBSPAdministratorhaveattemptedtoidentifythemostcommonactualphysicaldamagedeficienciesthatoccurandalsowhohasresponsibilityfortheguideline,YourBuilder,orYou.WhereaspecificConstructionPerformanceGuidelinehasnotbeenspecified,theguidelinesfoundinthepublicationResidentialConstructionPerformanceGuidelines5thEdition-ContractorReference,NationalAssociationofHomeBuilders(NAHB),willapply.Copiesofthispublicationmaybespecialorderedthroughmostbookretailers,orpurchaseddirectlyfromtheNAHBbookstorebycalling1.800.223.2665.TheNAHBbookstoremayalsobereachedonlineatBuilderBooks.com.Ifanitemisnotcoveredinthatpublication,locallyacceptedtradepracticesoftheconstructionindustrywillbeused.

B. MEASUREMENTS.Todeterminewhethercracks,openjoints,separations,orgapsarewithintheConstructionPerformanceGuidelinesYoucanuseasteelruleortapemeasure.TheedgesofU.S.Coinscanalsobeusedforapproximatemeasurementsasfollows:Dime=approximately1/32inchQuarter=approximately1/16inchTomeasurebow,outofplumb,andlevelnessYoucanuseeithera32-inchleveloradaptthemorecommon48-inchcarpenter’slevel.

BBSP_5307_SM_011918


BBSP_5307_SM_011918 10

1 YEAR WORKMANSHIP

1. Site Work 121.1Grading 121.2Drainage 12SoilErosion 12GrassedorLandscapedAreas 122. Foundation and Concrete 132.1Cast-InPlaceConcrete 13BasementFloor 13AttachedGarageFloorSlab 13AttachedPatioSlabandSidewalks 13ConcreteSlabonGradeFloors 13UnevenConcreteFloorSlabs 13InteriorConcrete,PittingScalingorSpalling 13BasementFloor,Efflorenscence 14BrickorMasonryEdging 14StoopsandSteps 142.2ConstructionandControlJoints 143. Masonry 143.1UnitMasonry(Brick,BlockandStone) 14ConcreteBlockBasementWalls,Cracks 14ConcreteBlockBasementWalls,Bowed 143.2StuccoandCementPlaster 14ExteriorStuccoWall 154. Carpentry 154.1PlywoodandJoists 15WoodFramedFloors,Uneven 15WallsorCeilings,Bowed 15WoodFrameWalls,Plumb 15WoodBeam/Post,Split 15ExteriorSheathingandSub-flooring 15WoodFloor,Square 164.2FinishCarpentry 16ExteriorTrim 16InteriorTrim 16InteriorTrim,Split 16InteriorTrim,HammerMarks 16ExposedNailHeads,Woodwork 165. Thermal and Moisture Protection 165.1Waterproofing 16Basement,Foundation,Crawl-space,Leaks 165.2Insulation 17InsufficientInsulation 17SoundTransmission 175.3VentilationandMoistureControl 17Crawl-Spaces,InadequateVentilation, MoistureControl 17Attics/Roofs,InadequateVentilation, MoistureControl 17AtticVents/Louvers,Leak-Page17ExhaustFans,Bath/Kitchen,VentedIntoAttic 18

5.4Sealants 18Water,AirLeaks,InadequateCaulking 185.5ExteriorSiding 18 Siding,Delamination,Splitting,Deterioration 18Siding,LooseorFallen 18Siding,Bowed 18 Siding,NailsStains 185.6Roofing 18 RooforFlashingLeaks 18 RoofShingles,BlownOff 19 Shingles,Defective 19 StandingWater,Built-UpRoofs 195.7SheetMetal 19 GuttersandDownspouts,Leak 19 Gutter,WaterRemains 196. Doors and Windows 196.1Doors,Interior/Exterior 19 Doors,Interior/Exterior,Warpage 19 Doors,Binding,Doesnotlock 19 DoorPanels,Shrink 19 DoorPanels,Split 20 Doors,Dragoncarpet 20 Doors,Interior,ExcessiveOpening 206.2GarageDoors(AttachedGarage) 20 GarageDoor,OperationandFit 206.3Wood,PlasticandMetalWindows 20 Window,Operation 20 Windows,DoubleHung,DoNotStayOpen 20 Windows,Condensation/Frost 206.4Hardware 21 Hardware,Operation 216.5StormDoors,WindowsandScreens 21 StormDoors,WindowsandScreens, Operation,Fit 216.6Weather-strippingandSeals 21 DoorsandWindows,Drafts 216.7GlassandGlazing 21 InsulatedGlass,CloudingandCondensation 217. Finishes 217.1LathandPlaster 21 PlasterWallsandCeiling,Cracks 217.2Drywall 21 DrywallCracks 21 Nailpops,Blisters,Blemishes 21 Drywall,Cornerbead,JointCompound, TrowelMarks,Blisters 227.3HardSurfaces 22 Flooring,Broken,Loose 22 Grouting,Cracks 227.4ResilientFlooring 22 ResilientFlooring,NailPops 22 ResilientFlooring,DepressionsorRidges 22 ResilientFlooring,Adhesion 22 ResilientFlooring,Seams,Shrinkage 227.5FinishedWoodFlooring 23 WoodFlooring,Cupping,Joints,Separation 237.6Painting 23 Paint,KnotandWoodStains 23 ExteriorPaint,Stain,PeelsorDeteriorates 23 Painting,RepairWork 23 PaintedSurfaces,MildeworFungus 23 Lacquer,Varnish,Deterioration 24 Paint,InteriorCoverage 24 Paint,Splatter,Smears 247.7WallCovering 24

INDEX CONSTRUCTION PERFORMANCE GUIDELINES

BBSP_5307_SM_011918 11

WallCovering,Peeling 24 WallCovering,PatternMismatched 24 WallCovering,HomeownerInstalled, LumpsandRidges 247.8Carpeting 24 Carpet,Seamsdonotmeet 24 Carpet,ColorVariations 24 Carpet,Stretch,Loosen 258. Specialities 258.1Fireplaces 25 Fireplace,Chimney,Operation 25 Chimney,Separation 25 Hearth,Cracks 259. Cabinets and Vanities 259.1KitchenCabinetsandVanities 25 CabinetDoors,Drawers,Bind 25 CabinetDoors,DrawersWarping 25 Cabinets,Gaps 269.2Countertops 26 Countertops,SurfaceCracks,De-lamination 2610. Mechanical 2610.1Plumbing 26 Faucet,Valve,Leak 26 PlumbingFixtures,Fittings,Appliances Defective 2610.2WaterSupply 26 Plumbing,Fixtures,Staining 26 WaterPipes,Noisy 2610.3HeatingandAirConditioning 26 HeatInadequate 26 CoolingInadequate 27 Ductwork,HeatingPiping,Insulation 27 CondensationLines,Clog 27 EvaporativeCooling,Operation 27 Ductwork,Noise 27 Ductwork,OilCanning 2711. Electrical Components 2711.1SwitchesandReceptacles 27FusesBlow,CircutBreakersKickOut 27 ElectricalOutlets,Drafts 27 Electricaloutlets,Switches,Fixtures Malfunction 28 LightFixture,Tarnish 2811.2ServiceandDistribution 28 GroundFaultInterrupter(GFCI)Trips 28

2 YEAR SYSTEMS

12. Mechanical 2812.1SepticTankSystems 28 SepticTank,Operation 2812.2Plumbing 29 PlumbingPipes,Freeze 29 PlumbingPipes,Leak 29 SanitarySewers,Waster,DrainLinesClog 2912.3WaterSupply 29 WaterSupply,Fails 2912.4HeatingandAirConditioning 29 RefrigerantLines,Leak 29 Ductwork,Separates 2913. Electrical System 3013.1ElectricalConductors 30 Wiring,DesignedLoad,Failure 30

12

ITEMS COVERED FOR THE FIRST YEAR OF THE WARRANTY PERIODS

BBSP_5307_SM_011918 12

ITEMS COVERED UNDER THE 1-YEAR WORKMANSHIP COVERAGE

DEFICIENCY CONSTRUCTION PERFORMANCE GUIDELINES

BUILDER RESPONSIBILITY

EXCLUSION

1. Site Work

1.1 GradingSettlingofgroundaroundfoundation,utilitytrenchesorotherareasonthepropertywhereexcavationandbackfillhavetakenplacethataffectdrainageawayfromHome.

1.2 Drainage Impropersurfacedrainage.

SoilErosion

Grassedorlandscapedareas,whicharedisturbedordamagedduetoworkperformedbyBuilder on the property in correctingadeficiency.

Settlingofgroundaroundfoundationwalls,utilitytrenchesorotherfilledareasthatexceedsamaximumofsixinchesfromfinishedgradeestablishedbyBuilder.

NecessarygradesandswalesshallbeestablishedtoprovideproperdrainageawayfromtheHome.Sitedrainage,undertheLimitedWarranty,islimitedtogradeswithin10-feetandswaleswithin20-feetofthefoundationoftheHome.Standingorpondingwatershallnotremainintheseareasforaperiodlongerthan24-hoursafterarain,exceptinswalesthatdrainfromadjoiningpropertiesorwhereasumppumpdischarges.Intheseareasanextendedperiodof48-hoursistobeallowedforwatertodissipate.Thepossibilityofstandingwaterafteranunusuallyheavyrainfallshouldbeanticipatedandisnottobeconsideredadeficiency.Nogradingdeterminationistobemadewhilethereisfrostorsnoworwhenthegroundissaturated.

NONE.NOCOVERAGE.

Landscapedareasthataredisturbedduringrepairworkaredeficiencies.

IfBuilderhasprovidedfinalgrading,Buildershallfillsettledareasaffectingproperdrainage,onetimeonly,duringthefirstyearWarrantyTerm.Youareresponsibleforremovalandreplacementofshrubsandotherlandscapingaffectedbyplacementofthefill.

Builderisonlyresponsibleforinitiallyestablishingthepropergrades,swalesanddrainageawayfromHome.YouareresponsibleformaintainingsuchgradesandswalesonceconstructedbytheBuilder.Builderisnotresponsiblefordrainagedeficienciesattributabletogradingrequirementsimposedbystate,county,orlocalgoverningagencies.

NONE.BuilderisnotresponsibleforsoilerosionduetoactsofGodorotherconditionsbeyondtheBuilder/Seller’scontrol.

Restoregrades,seedandlandscapetomeetoriginalcondition.

Builderisnotresponsibleforgrassedorlandscapedareaswhicharedamagedbyothers,includinganyworkperformedbypublicorprivateutilitycompanies.

Standingorpondingwateroutsideofdefinedswalesandbeyond10-feetfromthefoundationoftheHome,orthatiswithin10-feetbutiscausedbyunusualgradeconditions,orretentionoftreeareas,isnotconsideredadeficiency.Standingorpondingwatercausedbychangesinthegradeorplacementofsod,fencing,oranyotherobstructionsbyYouareexcludedfromLimitedWarrantycoverage.

SoilerosionandrunoffcausedbyfailureofYoutomaintaintheproperlyestablishedgrades,drainagestructuresandswales;stabilizedsoil,sodded,seededandlandscapedareas;areexcludedfromLimitedWarrantycoverage.

ReplacementoftreesandlargebushesthatexistedatthetimeHomewasconstructedorthoseaddedbyYouafteroccupancyorthosethatsubsequentlydieareexcludedfromLimitedWarrantycoverage.

13


BBSP_5307_SM_011918 13




EXCLUSION

2. Foundation and Concrete

2.1 Cast-In Place ConcreteBasementorfoundationwallcracks,otherthanexpansionorcontroljoints.

Crackingofbasementfloor.

Crackingofattachedgaragefloorslab.

Cracksinattachedpatioslabandsidewalks.

Cracksinconcreteslab-on-gradefloors,withfinishflooring.

Unevenconcretefloorslabs.

Interiorconcreteworkispitting,scaling,orspalling.

Concretecracksgreaterthan1/4-inchinwidth,orwhichallowexteriorwatertoleakintobasement,aredeficiencies.

Minorcracksinconcretebasementfloorsarecommon.Cracksexceeding1/4-inchinwidthor3/16-inchinverticaldisplacementaredeficiencies.

Cracksinconcretegaragefloorgreaterthan3/16-inchinwidthor3/16-inchinverticaldisplacementaredeficiencies.

NONE.NOCOVERAGE.

Cracksthatruptureorsignificantlyimpairtheappearanceorperformanceofthefinishflooringmaterialaredeficiencies.

Exceptforbasementfloorsorwhereafloororaportionoffloorhasbeendesignedforspecificdrainagepurposes,concretefloorsinroomsfinishedforhabitabilitybyBuilder/Sellershallnothavepits,depressionsor areaorunevennessexceeding3/8-inchin32-inches.

Interiorconcretesurfacesthatdisintegratetotheextentthataggregateisexposedandloosenedundernormalconditionsofusearedeficiencies.

Repairnon-structuralcracksbysurfacepatching.TheserepairsshouldbemadetowardtheendofthefirstyearofLimitedWarrantycoveragetopermitnormalstabilizingoftheHomebysettling.

Repaircracksexceedingmaximumtolerancebysurfacepatchingorothermethods,asrequired.

Buildershallrepairexcessivecracksintheslabbyfilling,chippingoutandsurfacepatching,orothersuitablemethodtomeettheConstructionPerformanceGuideline.Repairedareamaynotmatchtheexistingfloorincolorandtexture.

NONE.

Repaircracksasrequiredsoasnottobeapparentwhenthefinishflooringmaterialisinplace.Repairorreplacefinishflooring.

Repair/replacetomeettheConstructionPerformanceGuidelines.Whereapplicable,surfacepatchingisanacceptedmethodofrepair.Reinstallorreplaceanyfinishflooringmaterialasnecessary.

Buildershalltakewhatevercorrectiveactionisnecessarytorepairorreplacedefectiveconcretesurfaces.

Builderisnotresponsibleforcrackingordeteriorationcausedbythestorageofunusuallyheavyequipmentorplacementofexcessiveloadsthatexceedtheweightofatypicalautomobileorlighttruck,orbyotherfactorsbeyondtheBuilder’scontrol.Movementandtheresultingcrackingmaybeminimizedbygooddrainage,properinstallationoflandscapingandsuitablemaintenance.

NOCOVERAGEisprovidedforthiselementundertheLimitedWarranty.

Builderisnotresponsiblefordeteriorationcausedbysalt,chemicals,mechanicalimplements,orotherfactorsbeyondtheBuilder’scontrol.

Shrinkagecracksarenotunusualandareinherentintheconcretecuringprocess.

14


BBSP_5307_SM_011918 14




EXCLUSION

3. Masonry

Efflorescenceispresentonsurfaceofbasementfloor.

Separationofbrickormasonryedgingfromconcreteslaborstep.

Cracking,settlingorheavingofstoopsandsteps.

Cracksinconcreteblockbasementwalls.

Concreteblockbasementwallisbowed.

2.2 Construction and Control Joints

Separationormovementofconcreteslabswithinthestructureatconstructionandcontroljoints.

3.1 Unit Masonry (Brick, Block and Stone) Cracksinmasonry,brick,orstoneveneer.

3.2 Stucco & Cement PlasterCrackingorspallingofstuccoandcementplaster.

NONE.NOCOVERAGE.

Itiscommonforthejointtocrackbetweenconcreteandmasonryduetothedissimilarityofthematerials.Cracksinexcessof1/4-inchareadeficiency.

Stoopsandstepsthathavesettled,heaved,orseparatedinexcessof1-inchfromHomeareadeficiency.

Smallshrinkagecracksthatdonotaffectthestructuralabilityofmasonryfoundationwallsarenotunusual.Cracks1/4-inchorgreaterinwidtharedeficiencies.

Blockconcretewallsshallnotbowinexcessof1-inchin8feetwhenmeasuredfromthebasetothetopofthewall.

NONE.NOCOVERAGE.

Smallhairlinecracksresultingfromshrinkagearecommoninmortarjointsofmasonryconstruction.Cracksgreaterthan1/4-inchinwidthorarevisiblefromadistanceinexcessof20-feetaredeficiencies.

Hairlinecracksinstuccoorcementplasterarecommonespeciallyifapplieddirectlytomasonryback-up.Cracksgreaterthan1/8inchinwidthorspallingofthefinishsurfacesaredeficiencies.

NONE.Thisisanormalcondition.

Groutcrackfullyandresetloosemasonrywhererequired.Replacementofmasonrymaterial,ifrequired,shallmatchtheexistingascloselyaspossible.

BuilderwillmakeareasonableandcosteffectiveefforttomeettheConstructionPerformanceGuideline.

Buildershallinvestigatetodeterminecause.Buildershalltakethenecessarystepstoremovethecauseandmakerepairsbypointingandpatching,reinforcementorreplacementofthedefectivecourses.

Buildershallrepairbasementwallsthatarebowedinexcessof1-inchin8feet.

NONE.

Builderwillrepaircracksthatexceed1/4-inchbytuckpointingandpatching.TheserepairsshouldbemadetowardtheendofthefirstyearofLimitedWarrantycoveragetopermitHometostabilizeandnormalsettlementtooccur.Builderisnotresponsibleforcolorvariationsbetweenexistingandnewmortar.

Scrapeoutcracksandspalledareas,onetimeonlyduringthefirstyearwarrantyterm.Fillwithcementplasterorstuccotomatchfinishandcolorascloseaspossible.

Builderisnotresponsibleforfailuretomatchcolorortexture,duetonatureofmaterial.

Concreteslabswithinthestructurearedesignedtomoveatconstructionandcontroljointsandarenotdeficiencies.Youareresponsibleformaintenanceofjointmaterial.

15


BBSP_5307_SM_011918 15




EXCLUSION

4. Carpentry and Framing

Separationofcoatingfrombaseonexteriorstuccowall.

4.1 Plywood and Joists

Thecoatingshallnotseparatefromthebaseonanexteriorstuccowall.

Loudandobjectionablesqueakscausedbyimproperinstallationorloosesubflooraredeficiencies,butatotallysqueakprooffloorcannotbeguaranteed.

Woodfloorsshallnothavemorethana1/4-inchridgeordepressionwithinany32-inchmeasurement.

Allinteriorandexteriorframewallsorceilingshaveslightvariationsonthefinishsurfaces.Wallsorceilingsthatarebowedmorethan1/2-inchwithina32-inchhorizontalmeasurement;or1/2-inchwithinany8-footverticalmeasurement,aredeficiencies.

Woodframewallsthataremorethan3/8-inchoutofplumbforany32-inchverticalmeasurementareadeficiency.

Beamsorposts,especiallythose21/2-inchesorgreaterinthickness,willsometimessplitastheydrysubsequenttoconstruction.Unfilledsplitsexceeding1/4-inchinwidthandallsplitsexceeding3/8-inchinwidthandmorethan4inchesinlengtharedeficiencies.

Sheathingandsubflooringdelaminatingorswellingonthesidethatthefinishmaterialhasbeenappliedisadeficiency.

Unevenwoodframedfloors.

Bowedstudwallsorceilings.

Woodframewallsoutofplumb.

Woodbeamorpostissplit.

Exteriorsheathingandsubflooringwhichdelaminatesorswells.

Buildershallrepairareaswherethecoatinghasseparatedfromthebase.

Builderwillrefastenanyloosesubfloorortakeothercorrectiveactiontoreducesqueakingtothe extentpossiblewithinreasonablerepaircapabilitywithoutremovingfloorandceilingfinishes.

CorrectorrepairtomeettheConstructionPerformanceGuidelines.

ExteriorandinteriorframewallsorceilingsbowedinexcessoftheallowablestandardshallbecorrectedtomeettheallowancesoftheConstructionPerformanceGuidelines.

MakenecessaryrepairstomeettheConstructionPerformanceGuidelines.

Buildershallrepairorreplaceasrequired.Fillingsplitsisacceptableforwidthsupto3/8-inch.

Buildershallrepairorreplacesubflooringorsheathingasrequired.Replacementofthefinishmaterials,whennecessary,shallbedonetomatchtheexistingfinishascloselyaspossible.

Somecharacteristicsofdryingwoodarebeyondthecontrolofthebuilderandcannotbeprevented.

Floorsqueaksmayoccurwhenasubfloorthathascomeloosefromthejoistsisdeflectedbytheweightofapersonandrubsagainstthenailsthatholditinplace.Squeaksmayalsooccurwhenonejoistisdeflectedwhiletheothermembersremainstationary.BecausetheConstructionPerformanceGuidelinesrequirestheBuildertomakeareasonableattempttoeliminatesqueakswithoutrequiringremovaloffloorandceilingfinishes,nailingloosesubflooringwithcasingnailsintothecarpetsurfaceandcountersinkingtheheadisanacceptablepractice.

Builderisnotresponsibleforfailuretomatchcolorortextureduetothenatureofthematerial.

16


BBSP_5307_SM_011918 16




EXCLUSION

5. Thermal and Moisture Protection

Woodfloorisoutofsquare.

Unsatisfactoryqualityoffinishedinteriortrimandworkmanship.

Interiortrimissplit.

Hammermarksvisibleoninteriortrim.

Exposednailheadsinwoodwork.

4.2 Finish CarpentryUnsatisfactoryqualityoffinishedexteriortrimandworkmanship.

5.1 WaterproofingLeaksinbasementorinfoundation/crawlspace.

Thediagonalofatrianglewithsidesof12-feetand16-feetalongtheedgesofthefloorshallbe20-feetplusorminus1/2-inch.

Jointsbetweenmoldingsandadjacentsurfacesthatexceed1/8-inchinwidtharedeficiencies.

NONE.NOCOVERAGE.

Hammermarksoninteriortrimshallnotbereadilyvisiblefromadistanceof6feetundernormallightingconditions.

Settingnailsandfillingnailholesareconsideredpartofpaintingandfinishing.Afterpaintingorfinishing,nailsandnailholesshallnotbereadilyvisiblefromadistanceof6feetundernormallightingconditions.

Jointsbetweenexteriortrimelementsandsidingormasonry,whichareinexcessof1/4-inch,aredeficiencies.Inallcases,theexteriortrimabuttingmasonrysidingshallbecapableofperformingitsfunctiontoexcludetheelements.

Leaksresultinginactualtricklingofwaterthroughthewallsorseepingthroughtheflooraredeficiencies.

BuildershallmakenecessarymodificationstoanyfloornotcomplyingwiththeConstructionPerformanceGuidelines.

Repairdefectivejointsandtouchupfinishcoatingwhererequiredtomatchascloselyaspossible.Caulkingisacceptable.

NONE.

BuildershallfillhammermarksandrefinishorreplaceaffectedtrimtomeettheConstructionPerformanceGuidelines.Refinishedorreplacedareasmaynotmatchsurroundingareasexactly.

Fillnailholeswhererequiredandifnecessary,touchuppaint,stain,orvarnishtomatchascloselyaspossible.

Splits,cracks,andcheckingareinherentcharacteristicsofallwoodproducts,andarenotconsidereddeficiencies.

Nailholesdonothavetobefilledwherethesurfacefinishisnotconduciveorsodesignedtohavenailholesfilledbecauseoftheproduct.Nailholesinbaseandtriminunfinishedroomsorclosetsdonothavetobefilled.

LeakscausedbylandscapingimproperlyinstalledbyYouorfailurebyYoutomaintainpropergradesareexcludedfromLimitedWarrantycoverage.Dampnessinbasementandfoundationwallsorinconcretebasementandcrawlspacefloorsisoftencommontonewconstructionandisnotadeficiency.

Repairopenjointsandtouchupfinishcoatingwhererequiredtomatchexistingascloselyaspossible.Caulkopenjointsbetweendissimilarmaterials.

Takesuchactionasisnecessarytocorrectbasementandcrawlspaceleaks,exceptwherethecauseisdeterminedtobetheresultofYournegligence.WhereasumppithasbeeninstalledbyBuilderintheaffectedareabutthesumppumpwasnotcontractedfororinstalledbyBuilder,noactionisrequireduntilaproperlysizedpumpisinstalledbyYouinanattempttocorrectthecondition.Shouldtheconditioncontinuetoexist,thenBuildershalltakenecessaryactiontocorrecttheproblem.

17


BBSP_5307_SM_011918 17




EXCLUSION

5.2 InsulationInsufficientinsulation.

5.3 Ventiliation and Moisture Control

Inadequateventilationormoisturecontrolincrawlspaces.

Soundtransmissionbetweenrooms,floorlevels,adjoiningcondominiumunitsinabuilding,orfromthestreetintoHome.

Inadequateventilationormoisturecontrolinatticsorroofs.

Atticventsorlouversleak.

Insulationthatisnotinstalledaroundallhabitableareasinaccordancewithestablishedlocalindustrystandardsisadeficiency.

Crawlspacesshallhaveadequateventilationtoremovemoistureorotherapprovedmethodofmoisturecontrol.Ventilationorothermoisturecontrolmethodsshallbeconsideredinadequateifthereisdamagetosupportingmembersorinsulationduetomoistureaccumulation.

NONE.NOCOVERAGE.

Atticsorroofsshallhaveadequateventilationtoremovemoisture,orotherapprovedmethodofmoisturecontrol.Ventilationorothermoisturecontrolmethodsshallbeconsideredinadequateifthereisdamagetosupportingmembersorinsulationduetomoistureaccumulation.

Atticventsandlouversshallnotleak.

Buildershallinstallinsulationofsufficientthicknessandcharacteristicstomeetthelocalindustrystandards.Inthecaseofdispute,costforinvestigatingthesufficiencyofinsulationandrestoringareastopriorconditionistobeborne byYouifitisfoundthatthestandardhasbeenmetbytheBuilder.

Buildershallinvestigatetodeterminecause,andmakenecessaryrepairs.Correctiveactionmayincludetheinstallationofproperlysizedlouvers,vents,vaporbarrier,orotherlocallyapprovedmethodofmoisturecontrol.

Temporaryconditionsmaycausecondensationincrawlspacesthatcannotbeeliminatedbyventilationand/orvaporbarrier.Nightairmaycoolfoundationwallsandprovideacoolsurfaceonwhichmoisturemaycondense.InHomesthatareleftunheatedinthewinter,theundersideoffloorsmayprovideacoldsurfaceonwhichwarmercrawlspaceairmaycondense.TheseandothersimilarconditionsarebeyondtheBuilder’scontrol.MaintainingadequateheatandseasonaladjustmentofventsisYourresponsibility.

NONE.NOCOVERAGE.

Buildershallinvestigatetodeterminecause,andmakenecessaryrepairs.Correctiveactionmayincludetheinstallationofproperlysizedlouvers,vents,vaporretarder,orotherlocallyapprovedmethodofmoisturecontrol.

BuildershallrepairorreplacetheroofventsasnecessarytomeettheConstructionPerformanceGuidelines.

NOCOVERAGEisprovidedforsoundproofing.

Youareresponsibleforkeepingexistingventsunobstructed.

Locallyapprovedandproperlyconstructed“hotroof”orotheralternativeroofdesignsmaynotrequireventilation,andwherethereisnoevidenceofmoisturedamagetosupportingmembersorinsulation,arenotdeficiencies.

Infiltrationofwind-drivenrainandsnowarenotconsideredleaksandarebeyondthecontroloftheBuilder.

18


BBSP_5307_SM_011918 18




EXCLUSION

5.4 SealantsWaterorairleaksinexteriorwallsduetoinadequatecaulking.

5.5 Exterior SidingDelamination,splittingordeteriorationofexteriorsiding.

5.6 RoofingRooforflashingleaks.

Bathorkitchenexhaustfansimproperlyventedintoattic.

Looseorfallensiding.

Sidingisbowed.

Nailshavestainedsiding.

Bathorkitchenexhaustfansthatareventedintoatticscausingmoisturetoaccumulateresultingindamagetosupportingmembersorinsulation,aredeficiencies.

Allsidingthatisnotinstalledproperly,whichcausessametocomelooseorfalloff,isadeficiency.

Bowsexceeding1/2-inchin32-inchesaredeficiencies.

Nailstainsexceeding1/2-inchinlengthandvisiblefromadistanceof20-feetaredeficiencies.

Jointsandcracksinexteriorwallsurfacesandaroundopeningsthatarenotproperlycaulkedtoexcludetheentryofwaterorexcessivedraftsareadeficiency.

Exteriorsidingthatdelaminates,splitsordeterioratesisadeficiency.

Rooforflashingleaksthatoccurundernormalweatherconditionsaredeficiencies.

LooseorfallensidingduetoYouractionsorneglect,suchasleaningheavyobjectsagainstsiding,impact,orsprinklersystemsrepeatedlywettingsiding,isnotadeficiency.

BowedsidingduetoYouractionsorneglect,suchasbowingcausedbysprinklersystemrepeatedlywettingsiding,isnotadeficiency.

“Naturalweathering”orsemitransparentstainsareexcludedfromcoverage.

Buildershallventexhaustfanstotheoutsidetocorrectdeficiencies.

Reinstallorreplacesidingandmakeitsecure.

Builderwillrepairbowedsidingtomeetstandard.Ifreplacementofsidingisrequired,Builderwillmatchoriginalmaterialascloselyaspossible.Youshouldbeawarethatthenewfinishmaynotexactlymatchtheoriginalsurfacetextureorcolor.

Buildershallcorrectbyeitherremovingstains,painting,orstainingtheaffectedarea.Buildershallmatchcolorandfinishascloselyaspossible.Wherepaintorstaintouchupaffectsthemajorityofthewallsurface,thewholeareashallberefinished.

Repairand/orcaulkjointsinexteriorwallsurfacesasrequiredtocorrectdeficiencyonetimeonlyduringthefirstyearofLimitedWarrantycoverage.

Repair/replaceonlythedamagedsiding.Sidingtomatchtheoriginalascloselyaspossible,however,Youshouldbeawarethatthenewfinishmaynotexactlymatchtheoriginalsurfacetextureorcolor.

Correctanyrooforflashingleaksthatareverifiedtohaveoccurredundernormalweatherconditions.

Youmustmaintaincaulkingoncetheconditioniscorrected.

DelaminatedsidingduetoYouractionsorneglect,suchasdelaminationcausedbysprinklersystemrepeatedlywettingsiding,isnotadeficiency.

Wherecauseofleaksisdeterminedtoresultfromsevereweatherconditionssuchasiceandsnowbuild-up,highwindsanddrivenrains,suchleaksarenotdeficiencies.

19


BBSP_5307_SM_011918 19




EXCLUSION

6. Doors and Windows

Roofshingleshaveblownoff.

Defectiveshingles.

Doorpanelsshrinkandexposebarewood.

Standingwateronbuilt-uproofs.

Waterremainsinguttersafterarain.

Doorbindsagainstjamborheadofframeordoesnotlock.

5.7 Sheet MetalGuttersanddownspoutsleak.

6.1 Doors: Interior and Exterior

Warpageofinteriororexteriordoors.

Shinglesshallnotblowoffinwindslessthanthemanufacturer’sstandardsorspecifications.

NONE.NOCOVERAGE.

NONE.

Watershalldrainfromaflatorlowpitchedroofwithin24-hoursofarainfall.

Smallamountsofwatermayremaininsomesectionsofgutterforashorttimeafterarain.Standingwateringuttersshallnotexceed1/2-inchindepth.

Passagedoorsthatdonotopenandclosefreelywithoutbindingagainstthedoorframearedeficiencies.Lockboltistofitthekeepertomaintainaclosedposition.

Guttersanddownspoutsthatleakaredeficiencies.

Interiorandexteriordoorsthatwarpsoastopreventnormalclosingandfitaredeficiencies.Themaximumallowablewarpageofaninteriordooris1/4-inchwhenmeasuredfromcornertocorner.

Builderwillreplaceshinglesthatblowoffinwindslessthanthemanufacturer’sstandardsorspecificationsonlyifimproperinstallationisshowntobethecause.

NONE.

NONE. Doorpanelswillshrinkduetothenatureofthematerial,exposingbarewoodattheedgesandarenotdeficiencies.

Builderwilltakecorrectiveactiontoassureproperdrainageoftheroof.

Builderwillrepairgutterstoassureproperdrainage.

Adjustdoorandkeepertooperatefreely.

Repairleaksinguttersanddownspouts.

Repairorreplaceasmayberequired.Newdoorstoberefinishedtomatchtheoriginalascloselyaspossible.

Shinglesthatblowoffinwindslessthanthemanufacturer’sstandardsorspecificationsduetoamanufacturingdefectintheshinglesarethemanufacturer’sresponsibility.Shinglesthatblowoffinhurricanes,tornadoes,hailstorms,orwinds,includinggustsgreaterthan60milesperhour,arenotdeficiencies.Youshouldconsultshinglemanufacturer’swarrantyforspecifications,standards,andmanufacturer’swarrantyresponsibilityifshinglesblowoffinhigherwindspeeds.

ManufacturingdefectsinshinglesarenotcoveredundertheLimitedWarranty.Youshouldconsultshinglemanufacturer’swarrantyforspecifications,standards,andmanufacturer’swarrantyresponsibility.

Minorpondingorstandingofwaterisnotconsideredadeficiency.

Youareresponsibleforkeepingguttersanddownspoutsfreefromdebristhatwouldobstructdrainage.

Wooddoorsmaystickduringoccasionalperiodsofhighhumidity.

20


BBSP_5307_SM_011918 20




EXCLUSION

Doorpanelssplit.

Bottomofdoorsdragoncarpetsurface.

Excessiveopeningatthebottomofinteriordoors.

Condensationorfrostonwindowframesandglass.

Doublehungwindowsdonotstayinplacewhenopen.

6.2 Garage Doors (Attached Garage)

Garagedoorfailstooperateorfitproperly.

6.3 Wood, Plastic and Metal Windows Interior and Exterior

Windowisdifficulttoopenorclose.

Doorpanelsthathavesplittoallowlighttobevisiblethroughthedooraredeficiencies.

WhereitisunderstoodbyBuilderandYoucarpetisplannedtobeinstalledasfloorfinishbyBuilder,thebottomofthedoorswhichdragonthecarpetaredeficiencies.

Passagedoorsfromroomtoroomthathaveopeningsbetweenthebottomofthedoorandthefloorfinishmaterialinexcessof11/2-inchesaredeficiencies.Closetdoorshavinganopeninginexcessof2-inchesaredeficiencies.

NONE.

Doublehungwindowsarepermittedtomovewithinatwoinchtolerance,upordownwhenputinanopenposition.Anyexcessivemovementexceedingthetoleranceisadeficiency.

GaragedoorfailstooperateorGaragedoorsthatdonotoperateandfitthedooropeningwithinthemanufacturer’sinstallationtolerancesaredeficiencies.Someentranceoftheelementscanbeexpectedunderheavyweatherconditionsandisnotconsideredadeficiency.

Windowsshouldrequirenogreateroperatingforcethanthatdescribedinthemanufacturer’sspecifications.

Iflightisvisible,fillcrackandfinishpaneltomatchascloselyaspossible.CorrectonetimeonlyduringfirstyearofLimitedWarrantycoverage.

Undercutdoorsasrequired.

Makenecessaryadjustmentorreplacedoortomeettherequiredtolerance.

WherecarpetisselectedbyYouhavingexcessivehighpile,Youareresponsibleforanyadditionaldoorundercutting.

NONE. Windowglassandframeswillcollectcondensationontheframeandglasssurfacewhenhumidityandtemperaturedifferencesarepresent.Condensationisusuallytheresultoftemperature/humidityconditionsintheHome.

AdjustsashbalancesonetimeonlyduringthefirstyearofLimitedWarrantycoverage.Wherepossible,BuilderwillinstructYouonthemethodofadjustmentforfuturerepair.

Makenecessaryadjustmentstomeetthemanufacturer’sinstallationtolerances.

NoadjustmentisrequiredwhencauseisdeterminedtoresultfromanyonebutBuilder’sorBuilder’ssubcontractors’installationofanelectricdooropener.

Buildershallcorrectorrepairasrequiredtomeetmanufacturer’sspecifications.

21


BBSP_5307_SM_011918 21




EXCLUSION

7. Finishes

6.4 HardwareAdoorknob,deadbolt,orlocksetdoesnotoperatesmoothly.

6.5 Storm Doors, Windows and Screens

Stormdoors,windowsandscreensdonotoperateorfitproperly.

6.6 Weatherstripping and Seals

Draftsarounddoorsandwindows.

6.7 Glass and GlazingCloudingandcondensationoninsidesurfacesofinsulatedglass.

7.2 DrywallDrywallcracks.

Nailpops,blisters,orotherblemishisvisibleonfinishedwallorceiling.

7.1 Lath and PlasterCracksinplasterwallandceilingsurfaces.

Adoorknob,deadbolt,orlocksetshouldnotstickorbindduringoperation.

Stormdoors,windowsandscreens,wheninstalled,whichdonotoperateorfitproperlytoprovidetheprotectionforwhichtheyareintended,areconsidereddeficiencies.

Someinfiltrationisusuallynoticeablearounddoorsandwindows,especiallyduringhighwinds.Nodaylightshallbevisiblearoundframewhenwindoworexteriordoorisclosed.

Insulatedglassthatcloudsuporhascondensationontheinsidesurfacesoftheglassisadeficiency.

Hairlinecracksarenotunusual.Cracksininteriorgypsumboardorotherdrywallmaterialsexceeding1/16-inchinwidtharedeficiencies.

Nailpopsandblistersthatarereadilyvisiblefromadistanceof6feetundernormallightingconditionsaredeficiencies.

Hairlinecracksarenotunusual.Cracksinplasterwallandceilingsurfacesexceeding1/16-inchinwidtharedeficiencies.

Builderwilladjust,repair,orreplaceknobsthatarenotdamagedbyabuse,onetimeonlyduringthefirstyearWarrantyTerm.

Buildershallmakenecessaryadjustmentsforproperfitandoperation.Replacewhenadjustmentcannotbemade.

BuildershallrepairtomeetConstructionPerformanceGuidelines.

Buildershallreplaceglassinaccordancewithwindowandglassmanufacturer’srequirements.

Buildershallrepaircracksthataregreaterthan1/16-inchinwidthandtouchuppainttomatchascloselyaspossible,onetimeonly.SuchconditionsshouldbereportedneartheendofthefirstyearofLimitedWarrantycoveragetoallowfornormalmovementinHome.

Builderwillrepairsuchblemishes,andtouchuppainttomatchascloselyaspossible,onetimeonly.Suchconditionsshouldbe reported near the end of the firstyearofLimitedWarrantycoveragetoallowfornormalsettlementoftheHome.

Buildershallrepaircracksthataregreaterthan1/16-inchinwidthandtouchuppainttomatchascloselyaspossible,onetimeonly.SuchconditionsshouldbereportedneartheendofthefirstyearofLimitedWarrantycoveragetoallowfornormalmovementinHome.

Missingscreens,ripsorgougesinthescreenmesharenotcoveredbythisLimitedWarranty.

Inhighwindareas,Youmayneedtohavestormwindowsanddoorsinstalledtoeliminatedrafts.

Glassbreakageisexcluded.

Depressionsorslightmoundsatnailheadsarenotconsidereddeficiencies.Builderisnotresponsiblefornailpopsorblistersthatarenotvisible,suchasthosecoveredbywallpaper.

22


BBSP_5307_SM_011918 22




EXCLUSION

Resilientflooringorbaselosesadhesion.

Seamsorshrinkagegapsshowatresilientflooringjoints.

Depressionsorridgesappearintheresilientflooringduetosubfloorirregularities.

Cracksappearingroutingofceramictilejointsoratjunctionswithothermaterialsuchasabathtub,shower,orcountertop.

Crackedcornerbead,excessjointcompound,trowelmarks,orblistersintapejoints.

7.4 Resilient FlooringNailpopsappearonthesurfaceofresilientflooring.

Resilientflooringorbasethatlifts,bubbles,orbecomesungluedisadeficiency.

Gapsinexcessof1/32-inchinwidthinresilientfloorcoveringjointsaredeficiencies.Wheredissimilarmaterialsabut,agapinexcessof1/8-inchisadeficiency.

Readilyapparentdepressionsorridgesexceeding1/8-inchareadeficiency.Theridgeordepressionmeasurementistakenasthegapcreatedatoneendofa6-inchstraightedgeplacedoverthedepressionorridgewith3-inchesononesideofthedeficiencyheldtightlytothefloor.

Cracksingroutingofceramictilejointsinexcessof1/16-incharedeficiencies.RegroutingofthesecracksisYourmaintenanceresponsibilityaftertheBuilderhasregroutedonce.

Crackedorexposedcornerbead,trowelmarks,excessjointcompound,orblistersindrywalltape,aredeficiencies.

Readilyapparentnailpopsaredeficiencies.

Buildershallrepairorreplaceresilientflooringorbaseasrequired.Builderisnotresponsiblefordiscontinuedpatternsorcolorvariations.

BuildershallrepairorreplacetheresilientflooringtomeettheConstructionPerformanceGuidelines.Builderisnotresponsiblefordiscontinuedpatternsorcolorvariationsoffloorcovering.Properrepaircanbeaffectedbysealinggapwithseamsealer.

Buildershalltakerequiredactiontobringthedeficiencywithinacceptabletolerancessoastobenotreadilyvisible.Builderisnotresponsiblefordiscontinuedpatternsorcolorvariationsinthefloorcovering,Yourneglectorabuse,norinstallationsperformedbyothers.

BuildershallrepairgroutingasnecessaryonetimeonlywithinthefirstyearofLimitedWarrantycoverage.

BuilderwillrepairtomeetConstructionPerformanceGuidelines,andtouchuppainttomatchascloselyaspossible,onetimeonly.SuchconditionsshouldbereportedneartheendofthefirstyearofLimitedWarrantycoveragetoallowfornormalsettlementoftheHome.

Opencracksorloosegrouting,wherethewallsurfaceabutstheflashinglipatatub,showerbasin,orcountertopareconsideredYourmaintenanceandanyresultantdamagetootherfinishsurfacesduetoleaks,etc.arenotconsidereddeficiencies.

7.3 Hard SurfacesFlagstone,Marble,QuarryTile,Slate,orotherhardsurfaceflooringisbrokenorloose.

Tile,flagstone,orsimilarhardsurfacedsanitaryflooringthatcracksorbecomeslooseisadeficiency.Subfloorandwallboardarerequiredtobestructurallysound,rigid,andsuitabletoreceivefinish.

Buildershallreplacecrackedtiles,marble,orstoneandresecureloosetiles,marble,orstoneflooring.

CrackingandlooseningofflooringcausedbyYournegligenceisnotadeficiency.Builderisnotresponsibleforcolorandpatternvariationsordiscontinuedpatternsofthemanufacturer.

Buildershallcorrectnailpopsthathavecauseddamagetothefloormaterialandrepairorreplacedamagedfloorcoveringintheaffectedarea.Builder/Sellerisnotresponsiblefordiscontinuedpatternsorcolorvariations.

23


BBSP_5307_SM_011918 23




EXCLUSION

Exteriorpaintorstainpeelsordeteriorates.

Paintingrequiredascorollaryrepairbecauseofotherwork.

Mildeworfungusformsonpaintedorfactoryfinishedsurfaces.

7.5 Finished Wood FlooringCupping,openjoints,orseparationsinwoodflooring.

7.6 PaintingKnotandwoodstainsappearthroughpaintonexterior.

Exteriorpaintsorstainsthatpeelordeteriorateduringthefirstyearofownershiparedeficiencies.

NecessaryrepairofapaintedsurfaceunderthisLimitedWarrantyistoberefinishedtomatchsurroundingareasascloselyaspossible.

NONE.NOCOVERAGE.

Openjointsorseparationsbetweenfloorboardsoffinishedwoodflooringshallnotexceed1/8-inchinwidth.Cupsinstripfloorboardsshallnotexceed1/16-inchinheightina3-inchmaximumdistancewhenmeasuredperpendiculartothelengthoftheboard.

Excessiveknotandwoodstainsthatbleedthroughthepaintareconsidereddeficiencies.

Buildershallproperlyprepareandrefinishaffectedareas,matchingcolorascloselyaspossible.Wherefinishrepairsaffectthemajorityofthesurfaceareas,thewholeareashouldberefinished.TheLimitedWarrantyonthenewlyrepaintedsurfaceswillnotextendbeyondtheoriginalWarrantyTerm.

Buildershallrefinishrepairedareastomeetthestandardasrequired.

NONE.

Fading,however,isnormalandsubjecttotheorientationofpaintedsurfacestotheclimacticconditionswhichmayprevailinthearea.Fadingisnotadeficiency.

Mildeworfungusthatformsonapaintedorfactoryfinishedsurfacewhenthesurfaceissubjecttovariousexposures(e.g.:ocean,lake,riverfront,heavilywoodedareasormountains)isnotadeficiency.

Buildershalldeterminethecauseandiftheresultofadeficiencyinworkmanshipormaterial,correctonetimeonly.Forrepairabledeficiencies,repaircracksbyfillingandrefinishingtomatchthewoodsurfaceascloselyaspossible.Fornon-repairabledeficiencies,replaceandfinishaffectedareatomatchremainingflooringascloselyaspossible.

WoodfloorsaresubjecttoshrinkageandswellduetoseasonalvariationsinthehumiditylevelofHome.Whileboardsmaybeinstalledtighttogether,gapsorseparationsmayappearduringheatingseasonsorperiodsoflowhumidity.Gapsorseparationsthatcloseduringnon-heatingseasonsarenotconsidereddeficiencies.Youshouldbefamiliarwiththerecommendedcareandmaintenancerequirementsoftheirwoodfloor.Repeatedwettinganddrying,orwetmoppingmaydamagewoodfinishes.Dimplesorscratchescanbecausedbymovingfurnitureordroppingheavyobjects,andcertainhighheelstyleshoesmaycauseindentations.TheseconditionsarenotcoveredbytheLimitedWarranty.

Buildershallsealaffectedareaswhereexcessivebleedingofknotsandstainsappear,onetimeonlyduringthefirstWarrantyTerm.Builderwilltouch-uppainttomatchascloselyaspossible.

24


BBSP_5307_SM_011918 24




EXCLUSION

Deteriorationofvarnishorlacquerfinishes.

Interiorpaintcoverage.

Paintsplattersandsmearsonfinishsurfaces.

Patterninwallcoveringismismatchedattheedges.

LumpsandridgesandnailpopsinwallboardthatappearaftertheHomeownerhaswallcoveringinstalledbyothers.

Colorvariationsincarpet.

7.7 Wall CoveringPeelingofwallcoveringinstalledbyBuilder/Seller.

7.8 CarpetingCarpetdoesnotmeetattheseams.

NaturalfinishoninteriorwoodworkthatdeterioratesduringthefirstyearofLimitedWarrantycoverageisadeficiency.

Wall,ceiling,andtrimsurfacesthatarepaintedshallnotshowthroughnewpaintwhenviewedfromadistanceof6-feetundernormallightingconditions.

Paintsplattersonwalls,woodwork,orothersurfaceswhichareexcessive,shallnotbereadilyvisiblewhenviewedfromadistanceof6-feetundernormallightingconditions.

Patterninwallcoveringshallmatchattheedges.

NONE.NOCOVERAGE.

NONE.NOCOVERAGE.

Peelingofwallcoveringisadeficiency,unlessitisduetoYourabuseornegligence.

Itisnotunusualforcarpetseamstoshow.However,avisiblegaporoverlappingattheseamduetoimproperinstallationisadeficiency.

Buildershallrefinishaffectedareasofnaturalfinishedinteriorwoodwork,matchingthecolorascloselyaspossible.

Buildershallrepaintwall,ceilingortrimsurfaceswhereinadequatepainthasbeenapplied.Wherethemajorityofthewallorceilingsurfaceisaffectedtheentireareawillbepaintedfrombreaklinetobreakline.Builderisnotrequiredtorepaintanentireroomunlessallwallsandceilinghavebeenaffected.

Buildershallremovepaintsplatterswithoutaffectingthefinishofthematerial,orreplacethedamagedsurfaceifpaintcannotberemoved.

Buildershallremovemismatchedwallcoveringandreplace.Builderisnotresponsiblefordiscontinuedorvariationsincolor.

NONE.

NONE.

Buildershallrepairorreplacedefectivewallcovering.

Buildershallcorrecttoeliminatevisiblegaporoverlappingattheseam.

Varnish-typefinishesusedonexteriorsurfaceswilldeteriorate rapidly and arenotcoveredbytheLimitedWarranty.

MinorpaintsplatterandsmearsonimpervioussurfacesthatcanbeeasilyremovedbynormalcleaningmethodsareconsideredtobeYourmaintenanceandarenotdeficiencies.

Defectsinthewallcoveringpatternsarethemanufacturer’sresponsibility,andexcludedfromLimitedWarrantycoverage.

Youshallinsurethatthesurfacetoreceivewallcoveringissuitableandassumesfullresponsibilityshouldlumps,ridges,andnailpopsoccuratalaterdate.

Colorsmayvarybydyelot,andfromoneendtoanotherinthesameroll.Sidetosideshadingmayshowatmostifnotallseams,evenwherethesamedyelotisused.CarpetmaterialisnotcoveredundertheLimitedWarranty.Youshouldconsultcarpetmanufacturer’swarrantyforspecifications,standards,andmanufacturer’swarrantyresponsibilityforcolorvariations.

WallpaperappliedinhighmoistureareasisexemptfromthisGuidelinebecausetheproblemresultsfromconditionsbeyondthebuilder’scontrol.

CarpetmaterialisnotcoveredundertheWarranty.

25


BBSP_5307_SM_011918 25




EXCLUSION

9. Cabinets and Vanities

8. Specialties

Carpetingloosens,orthecarpetstretches.

Chimneyseparationfromstructuretowhichitisattached.

Cracksinmasonryhearthorfacing.

Warpingofkitchenandvanitycabinetdoorsanddrawerfronts.

8.1 FireplacesFireplaceorchimneydoesnotdrawproperlycausingsmoketoenterhome.

9.1 Kitchen Cabinets and Vanities

Kitchenandvanitycabinetdoorsanddrawersbind.

Whenstretchedandsecuredproperly,wall-to-wallcarpetinginstalledastheprimaryfloorcoveringshallnotcomeup,loosen,orseparatefromthepointsofattachment.

Newlybuiltfireplaceswilloftenincurslightamountsofseparation.Separationthatexceeds1/2-inchfromthemainstructureinany10-footverticalmeasurementisadeficiency.

Smallhairlinecracksinmortarjointsresultingfromshrinkagearenotunusual.Heatandflamesfromnormalfirescancausecracking.

Warpagethatexceeds1/4-inchasmeasuredfromthefaceofthecabinetframetothefurthermostpointofwarpageonthedrawerordoorfrontinaclosedpositionisadeficiency.

Aproperlydesignedandconstructedfireplaceorchimneyshallfunctioncorrectly.Highwindscancausetemporarynegativeordowndrafts.Negativedraftscanalsobecausedbyobstructionssuchastreebranches,steephillsides,adjoininghomes,andinteriorfurnaces.Insomecases,itmaybenecessarytoopenawindowslightlytocreateaneffectivedraft.Sincenegativedraftconditionscouldbetemporary,itisnecessaryforthehomeownertosubstantiatetheproblemstotheBuilderbyconstructingafiresotheconditioncanbeobserved.

Cabinetdoorsanddrawersshallopenandclosewithreasonableease.

BuilderwillrestretchorresecurecarpetingtomeetConstructionPerformanceGuidelinesonetimeonlyduringthefirstyearofLimitedWarrantycoverage.

Buildershallcorrect.Caulkingorgroutingisacceptableunlessthecauseoftheseparationisduetostructuralfailureofthechimneyfoundation.Inthatcase,caulkingisunacceptable.

NONE.

Buildershallcorrectorreplacedoorordrawerfrontasrequired.

Heatandflamesfromnormalfirescancausecrackingoffirebrickandmortarjoints.Thisshouldbeexpected,andisnotcoveredbytheLimitedWarranty.

Whendeterminedthemalfunctionisbaseduponimproperconstructionofthefireplace,theBuildershalltakethenecessarystepstocorrecttheproblem,onetimeonlyduringthefirstyearWarrantyTerm.

BuildershalladjustorreplacedoorsanddrawersasnecessarytomeetConstructionPerformanceGuidelines.

Whenitisdeterminedthatthefireplaceisproperlydesignedandconstructed,butstillmalfunctionsduetonaturalcausesbeyondBuilder’scontrol,Builderisnotresponsible.

26


BBSP_5307_SM_011918 26




EXCLUSION

10. Mechanical

Gapsbetweencabinets,ceilingandwalls.

9.2 Countertops Surfacecracksanddelaminationsinhighpressurelaminatesofvanityandkitchencabinetcountertops.

10.1 Plumbing Faucetorvalveleak.

10.2 Water SupplyStainingofplumbingfixturesduetohighiron,manganese,orothermineralcontentinwater.

10.3 Heating and Air Conditioning

Inadequateheat.

Defectiveplumbingfixtures,appliancesortrimfittings.

Noisywaterpipes.

AvalveorfaucetleakduetomaterialorworkmanshipisadeficiencyandiscoveredonlyduringthefirstyearoftheWarranty.

NONE.NOCOVERAGE.

Aheatingsystemshallbecapableofproducinganinsidetemperatureofatleast70-degreesFahrenheitasmeasuredinthecenteroftheroomataheightoffivefeetabovethefloorunderlocaloutdoorwinterdesignconditions.NOTEFORHEATING:Theremaybeperiodswhentheoutdoortemperaturefallsbelowthedesigntemperature,therebyloweringthetemperatureinHome.

Fixtures,appliances,orfittingsshallcomplywiththeirmanufacturer’sstandardsastouseandoperation.

Somenoisecanbeexpectedfromthewaterpipesystem,duetotheflowofwater.However,thesupplypipesshouldnotmakethepoundingnoisecalled“waterhammer”.“Waterhammer”isadeficiencycoveredonlyduringthefirstyearoftheWarranty.

Buildershallrepairorreplacetheleakingfaucetorvalve.

NONE.Highironandmanganesecontentinthewatersupplysystemwillcausestainingofplumbingfixtures.

Buildershallcorrectheatingsystemasrequiredtoprovidetherequiredtemperaturesifadeficiencyexists.

NONE.

Buildershallcorrecttoeliminate“waterhammer.”

LeakagecausedbywornordefectivewashersorsealsareYourmaintenanceitem.

MaintenanceandtreatmentofthewaterisYourresponsibility.

OrientationofHomeandlocationofroomwillalsoprovideatemperaturedifferential,especiallywhentheheatingsystemiscontrolledbyasinglethermostatforoneormorefloorlevels.Youareresponsibleforbalancingdampersandregistersandformakingothernecessaryminoradjustments.

Defectiveplumbingfixtures,appliances,andtrimfittingsarecoveredundertheirmanufacturer’swarranty.

Noisesduetowaterflowandpipeexpansionarenotconsidereddeficiencies.

Countertops,splashboards,baseandwallcabinetsaretobesecurelymounted.Gapsinexcessof1/4-inchbetweenwallandceilingsurfacesareadeficiency.

Countertopsfabricatedwithhighpressurelaminatecoveringsthatdelaminateorhavesurfacecracksorjointsexceeding1/16-inchbetweensheetsareconsidereddeficiencies.

Buildershallmakenecessaryadjustmentofcabinetsandcountertoporclosegapbymeansofmouldingsuitabletomatchthecabinetorcountertopfinish,orascloselyaspossible;orotheracceptablemeans.

Buildershallrepairorreplacelaminatedsurfacecoveringhavingcracksorjointsexceedingtheallowablewidth.

27


BBSP_5307_SM_011918 27




EXCLUSION

11. Electrical Components

Inadequatecooling.

11.1 Switches and Receptacles

Fusesblow,orcircuitbreakerskickout.

Ductworkandheatingpipingnotinsulatedinuninsulatedarea.

Condensatelinesclogup.

Impropermechanicaloperationofevaporativecoolingsystem.

Ductworkmakesnoises.

Draftsfromelectricaloutlets.

Ductworkmakesexcessivelyloudnoisesknownas“oilcanning”.

Fusesandcircuitbreakersthatdeactivateundernormalusage,whenresetorreplacedaredeficienciesduringthefirstyearofLimitedWarrantycoverage.

Ductworkandheatingpipesthatareruninuninsulatedcrawlspaces,garagesoratticsaretobeinsulated.Basementsarenot“uninsulatedareas”,andnoinsulationisrequired.

NONE.NOCOVERAGE.

Equipmentthatdoesnotfunctionproperlyattemperaturestandardsetisadeficiency.

NONE.NOCOVERAGE.

NONE.NOCOVERAGE.

Thestiffeningoftheductworkandthegaugeofmetalusedshallbesuchthatductsdonot“oilcan”.Theboomingnoisecausedbyoilcanningisadeficiency.

Buildershallcheckallwiringandreplacewiringor breaker if itdoesnotperformadequatelyorisdefective.

Buildershallinstallrequiredinsulation.

BuildershallprovidecleanandunobstructedlinesonEffectiveDateofWarranty.

BuildershallcorrectandadjustsothatblowerandwatersystemoperateasdesignedduringthefirstyearofLimitedWarrantycoverage.

NONE.

NONE.

Buildershalltakethenecessarystepstoeliminatenoisecausedbyoilcanning.

Condensatelineswillclogundernormalconditions.Youareresponsibleforcontinuedoperationofdrainlines.

Whenmetalisheated,itexpands,andwhencooled,itcontracts.Theresulting“ticking”or“crackling”soundsgenerallyaretobeexpectedandarenotdeficiencies.

Theelectricaljunctionboxonexteriorwallsmayproduceaslightairflowwherebythecoldaircanbedrawnthroughtheoutletintoaroom.ThisproblemisnormalinnewHomeconstruction.

Whenairconditioningisprovided,thecoolingsystemistobecapableofmaintainingatemperatureof78-degreesFahrenheitasmeasuredinthecenterofeachroomatheightoffivefeetabovethefloor,underlocaloutdoorsummerdesignconditions.NOTEFORAIRCONDITIONING:Inthecaseofoutsidetemperaturesexceeding95-degreesFahrenheit,thesystemshallkeeptheinsidetemperature15-degreescoolerthantheoutsidetemperature.National,state,orlocalrequirementsshallsupersedethisguidelinewheresuchrequirementshavebeenadoptedbythelocalgoverningagency.

CorrectcoolingsystemtomeettheConstructionPerformanceGuidelinesduringthefirstyearofLimitedWarrantycoverage.

OrientationofHomeandlocationofroomwillalsoprovideatemperaturedifferential,especiallywhentheairconditioningsystemiscontrolledbyasinglethermostatforoneormorelevels.Youareresponsibleforbalancingdampersandregistersandformakingothernecessaryminoradjustments.

28


BBSP_5307_SM_011918 28




EXCLUSION

ITEMS COVERED UNDER THE 2-YEAR SYSTEMS COVERAGE

DEFICIENCY CONSTRUCTIONPERFORMANCEGUIDELINES

BUILDER/WARRANTORRESPONSIBILITY

EXCLUSION

Malfunctionofelectricaloutlets,switches,orfixtures.

Lightfixturetarnishes.

11.2 Service and Distribution

Groundfaultinterruptertripsfrequently.

NONE.NOCOVERAGE.

Groundfaultinterruptersaresensitivesafetydevicesinstalledintotheelectricalsystemtoprovideprotectionagainstelectricalshock.Thesedevicesaresensitiveandcanbetrippedveryeasily.Groundfaultoutletsthatdonotoperateasintendedareconsidereddeficiencies.

NONE.

BuildershallreplacethedeviceifdefectiveduringthefirstyearofLimitedWarrantycoverage.

Finishesonlightfixturesmaybecoveredundertheirmanufacturer’swarranty.

Allswitches,fixturesandoutletswhichdonotoperateasintendedareconsidereddeficienciesonlyduringthefirstyearofLimitedWarrantycoverage.

Buildershallrepairorreplacedefectiveswitches,fixturesandoutlets.

12.1 Septic Tank Systems Septicsystemsfailtooperateproperly.

Septicsystemshouldbecapableofproperlyhandlingnormalflowofhouseholdeffluent.

Buildershalltakecorrectiveactionifitisdeterminedthatmalfunctionisduetoadeficiencyinworkmanship,materials,orfailuretoconstructsysteminaccordancewithstate,county,orlocalrequirements.Builderisnotresponsibleformalfunctionsorlimitationsintheoperationofthesystemattributabletodesignrestrictionsimposedbystate,county,orlocalgoverningagencies.BuilderisalsonotresponsibleformalfunctionswhichoccurorarecausedbyconditionsbeyondBuilder’scontrol,includingYournegligence,abuse,freezing,soilsaturation,changesingroundwatertable,orotheractsofnature.

Youareresponsibleforperiodicpumpingoftheseptictankandanormalneedforpumpingisnotadeficiency.ThefollowingareconsideredYournegligenceorabuseasexclusionundertheLimitedWarranty:a.)excessiveuseofwatersuchasoveruseofwashingmachineanddishwasher,includingtheirsimultaneoususe;b.)connectionofsumppump,roofdrainsorbackwashfromwaterconditioner,tothesystemc.)placingofnon-biodegradableitemsinthesystem;d.)additionofharshchemicals,greasesorcleaningagents,andexcessiveamountsofbleachesordraincleaners;e.)useofafoodwastedisposernotsuppliedbyBuilder/Seller;f.)placementofimpervioussurfacesoverthedisposalarea;g.)allowingvehiclestodriveorparkoverthedisposalarea;h.)failuretoperiodicallypumpouttheseptictankwhenrequired.SewagepumpsareexcludedundertheLimitedWarranty.

12. Mechanical Systems

29





EXCLUSION

BBSP_5307_SM_011918 29

12.2 PlumbingWaterinplumbingpipesfreezes,andthepipesburst.

Drain,waste,vent,andwaterpipesshallbeadequatelyprotectedtopreventfreezingandburstingduringnormallyanticipatedcoldweather.

BuildershallcorrectconditionsnotmeetingConstructionPerformanceGuidelines.

BurstpipesduetoYourneglectandresultantdamagearenotBuilder/Seller’sresponsibility.Youareresponsiblefordrainingexteriorfaucets,andmaintainingsuitabletemperatureintheHometopreventwaterinpipesfromfreezing.Duringperiodswhentheoutdoortemperaturefallsbelowthedesigntemperature,Youareresponsiblefordrainingorotherwiseprotectingpipes.Homeswhichareperiodicallyoccupied,suchassummerhomes,orwheretherewillbenooccupancyforanextendedperiodoftime,mustbeproperlywinterizedorperiodicallycheckedtoinsurethatareasonabletemperatureismaintained.

Leakagefromanypiping. Leaksinanywaste,ventandwaterpipingaredeficiencies.

Buildershallmakenecessaryrepairstoeliminateleakage.

Condensationonpipingdoesnotconstituteleakage,andisnotadeficiency,exceptwherepipeinsulationisrequired.

Sanitarysewers,fixtures,wasteordrainlinesareclogged.

TheBuilderisnotresponsibleforsewers,fixtures,ordrainsthatarecloggedbecauseofYouractionsornegligence.Sanitarysewers,fixtures,wasteordrainlinesthatdonot operate or drain properly duetoimproperconstructionaredeficiencies.

Whendefectiveconstructionisshowntobethecause,Buildershallmakenecessaryrepairs.

IfYouractionsornegligenceisthecause,Youareresponsibleforcorrectingtheproblem.YouareliablefortheentirecostofanyseweranddraincleaningserviceprovidedbyBuilder/SellerwherecloggeddrainsarecausedbyYouractionsornegligence.

BuilderisnotresponsibleforsewerlinesthatextendbeyondthepropertylinesonwhichtheHomeisconstructed.

12.3 Water Supply Watersupplysystemfailstodeliverwater.

AllserviceconnectionstomunicipalwatermainorprivatewatersupplyareBuilder’sresponsibilitywheninstalledbyBuilder.

Buildershallrepairasrequirediffailuretosupplywateristheresultofdeficiencyinworkmanshipormaterials.

IfconditionsexistwhichdisruptoreliminatethesourcesofwatersupplythatarebeyondBuilder’scontrol,thenBuilderisnotresponsible.

12.4 Heating and Air Conditioning

Refrigerantlinesleak.Builder-installedrefrigerantlinesorgroundlooppipesthatdevelopleaksduringnormaloperationaredeficiencies.

Buildershallrepairleakinglinesandrechargetheunitasrequired.

LeaksduetoYouractionsornegligenceareexcluded.

Ductworkseparates,becomesunattached.

Ductworkthatisnotintactorsecurelyfastenedisadeficiency.

Buildershallreattachandresecureallseparatedorunattachedductwork.

BBSP_5307_SM_011918 30

13. Electrical Systems




EXCLUSION

13.1 Electrical Conductors

Failureofwiringtocarryitsdesignedload.

Wiringthatisnotcapableofcarryingthedesignatedload,fornormalresidentialusetoswitches,receptacles,andequipment,isadeficiency.

Buildershallcheckwiringandreplaceifitfailstocarrythedesignload.

BBSP_5307_SM_011918


HBW_305_011918

NOTICE OF COMPLAINT FORM FOR WORKMANSHIP & SYSTEMS COVERAGE

MAILTO:BBSPAdministrator

13900E.HarvardAve.|Aurora,CO80014|855.429.2109

HomeownerSignature:

HomeownerSignature:

Date:

Please read theBBSPWarranty Booklet, Section III., page 4, for filing instructions and pertinent information. If your previouswrittenattempts to resolveyourproblemswith theBuilderhave failed, then this form is tobe sent toyourBuilder,witha copy to theBBSPAdministrator.ThisformmustbereceivedbyyourBuilderandBBSPAdministratornolaterthanfifteen(15)daysaftertheexpirationoftheapplicablewarrantytermoryourcoveragewillbedenied.Werecommendcertifiedmail,returnreceipt.

Name:

Address:

PrimaryPhone: AlternatePhone:

EmailAddress:

EffectiveDateofWarranty: WarrantyValidationCertificate#:

NatureofDefect (Be Specific):

DateDefectFirstObserved: DateFirstReportedtoBuilder:

AttachanycopiesofrelevantcorrespondencebetweenYouandYourBuilderinvolvingthismatter.Pleaseprovideanycorrespondencethat

indicatesthatYourBuilderhasfailedtoperformitswarrantyobligations,andacopyoftheWarrantyValidationCertificate.

BBSP_5307_SM_011918


HBW_306_011918

SUCCESSIVE HOMEOWNER TRANSFER AND ARBITRATION

ACCEPTANCE FORM

AsthesuccessivehomeowneroftheHomelocatedat (Home)I/WeacceptanycoverageremainingontheBBSPwarrantyprovidedbytheBuilderthatfirstsoldthenewlyconstructedHome.I/WehavereviewedandagreedtoallthetermsintheBBSPwarrantybooklet.

I/WeunderstandthatBBSPAdministratorisnotthewarrantoroftheBuilder’sBBSPwarranty,butratherprovidesservicestoadministertheBuilder’swarranty.

I/WeagreetothebindingarbitrationprocessforresolvingwarrantydisputesbetweenusandtheBuilder.

Signature(s)ofsuccessiveHomeBuyer(s):

SIGN PRINT

SIGN PRINT

PHONE EMAIL

DATE

Inordertoprocessthisrequest,pleasemailthisformandacheckintheamountof$20payabletoBBSPAdministratorto:BBSPAdministrator13900E.HarvardAve.Aurora,CO80014

BBSP_5307_SM_011918


© 2018 Home Buyers Warranty Corporation. All Rights Reserved. BBSP_5307_SM_011918

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