The New Minnesota Notice and Opportunity to Repair Law was introduced and adopted by legislation in the Spring of 2006.

Some of the laws apply to both residential and commercial construction, but most are limited to residential structures. According to the National Association of Home Builders, common NOR provisions include some form of the following:

• A requirement that the home owner notify the builder of the claim in writing within a specified time after discovery of the defect and before filing a lawsuit.



• An opportunity for the builder, after receipt of the written notice, to timely inspect the site, repair the defect, or pay money in lieu of repairing the defect; and



• A requirement that the contract between the homeowner and the builder reference the notice and opportunity to repair provisions of the law

In addition, most NOR laws contain a tolling provision to prevent a statute of limitation or repose from extinguishing the claim during a negotiation period.

The NOR legislation is codified at Minn. Stat. § 327A.02, Subd. 4, effective as of August 1, 2006. Prior to that date a homeowner wishing to assert for breach of statutory warranties was required under Minnesota Statute § 327A.03 (a) to report "damage or loss" to the vendor or home improvement contractor in writing within six months after such damage or loss was discovered or should have been discovered. The new NOR provision now provides the following:

Subd 4. Response from vendor to notice of claim.

(a) Following notice under Minnesota Statute § 327A.03, the vendee must allow an inspection and opportunity to offer to repair the known loss or damage. Upon request of the vendee, a court may order the vendor to conduct the inspection. The inspection must be performed and any offer to repair must be made in writing to the vendee within 30 days of the vendor's receipt of the written notice required under Minnesota Statute § 327A.03, clause (a), alleging loss or damage. The applicable statute of limitations is tolled from the date the written notice provided by the vendee is postmarked, or if not sent through mail, received by the vendor until the earliest of the following:

(1) the date the vendee rejects the vendor's offer to repair;

(2) the date the vendor rejects the vendee's cliam in writing;

(3) failure by the vendor to make an offer to repair within the 30-day period described in this subdivision; or

(4) 180 days.

For purposes of this subdivision, "vendor" includes a home improvement contractor.

(b) Upon completion of repairs as described in an offer to repair, the vendor must provide the vendee with a list of the repairs made and a notice that the vendee may have a right to pursue a warranty claim under this chapter. Provision of this statement is not admission of liability. Compliance with this subdivision does not affect any rights of the vendee under this chapter.

Minnesota is one of only a handful of jurisdictions that provide statutory warranties for new homes and home improvements. These statutory warranties provide an additional cause of action for aggrieved homeowners, but they do not supplant other causes of action or remedies for damages caused by construction defects.

Minnesota NOR provisions is limited to claims involving breach of the statutory warranties only.

The Minnesota NOR provision also sets very restrictive time parameters.

** The above information is meant to be informative only. Please consult with an attorney for legal advice.