Florida Senate - 2022                        COMMITTEE AMENDMENT
       Bill No. CS for SB 736
       
       
       
       
       
       
                                Ì916628DÎ916628                         
       
                              LEGISLATIVE ACTION                        
                    Senate             .             House              
                  Comm: RCS            .                                
                  01/12/2022           .                                
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       The Committee on Community Affairs (Hutson) recommended the
       following:
       
    1         Senate Amendment (with title amendment)
    2  
    3         Delete lines 45 - 88
    4  and insert:
    5         Section 1. Paragraph (c) of subsection (3) of section
    6  95.11, Florida Statutes, is amended, and subsection (12) is
    7  added to that section, to read:
    8         95.11 Limitations other than for the recovery of real
    9  property.—Actions other than for recovery of real property shall
   10  be commenced as follows:
   11         (3) WITHIN FOUR YEARS.—
   12         (c) An action founded on the design, planning, or
   13  construction of an improvement to real property, with the time
   14  running from the date of actual possession by the owner, the
   15  date of the issuance of a certificate of occupancy, the date of
   16  abandonment of construction if not completed, or the date of
   17  completion of the contract or termination of the contract
   18  between the professional engineer, registered architect, or
   19  licensed contractor and his or her employer, whichever date is
   20  latest; except that, when the action involves a latent defect,
   21  the time runs from the time the defect is discovered or should
   22  have been discovered with the exercise of due diligence. In any
   23  event, the action must be commenced within 10 years after the
   24  date of actual possession by the owner, the date of the issuance
   25  of a certificate of occupancy, the date of abandonment of
   26  construction if not completed, or the date of completion of the
   27  contract or termination of the contract between the professional
   28  engineer, registered architect, or licensed contractor and his
   29  or her employer, whichever date is latest. However,
   30  counterclaims, cross-claims, and third-party claims that arise
   31  out of the conduct, transaction, or occurrence set out or
   32  attempted to be set out in a pleading may be commenced up to 1
   33  year after the pleading to which such claims relate is served,
   34  even if such claims would otherwise be time barred. With respect
   35  to actions founded on the design, planning, or construction of
   36  an improvement to real property, if such construction is
   37  performed pursuant to a duly issued building permit and if a
   38  local enforcement agency, state enforcement agency, or special
   39  inspector, as those terms are defined in s. 553.71, has issued a
   40  final certificate of occupancy or certificate of completion,
   41  then as to the construction which is within the scope of such
   42  building permit and certificate, the correction of defects to
   43  completed work or repair of completed work, whether performed
   44  under warranty or otherwise, does not extend the period of time
   45  within which an action must be commenced. Completion of the
   46  contract means the later of the date of final performance of all
   47  the contracted services or the date that final payment for such
   48  services becomes due without regard to the date final payment is
   49  made.
   50         (12)ACTIONS RELATING TO AN IMPROVEMENT TO REAL PROPERTY.—
   51         (a) Definitions.—As used in this subsection the term:
   52         1. “Category 1 improvement” includes a detached single
   53  family home, including a manufactured home, or a standalone
   54  building or structure, intended for use by a single business,
   55  occupant, or owner, not exceeding three stories in height and
   56  related improvements to such homes, buildings, or structures.
   57         2. “Category 2 improvement” includes a single-family
   58  dwelling unit not exceeding three stories in height which is
   59  constructed in a series or group of attached units or a
   60  commercial or nonresidential building not exceeding three
   61  stories in height and related improvements to such dwellings,
   62  buildings, or structures.
   63         3. “Category 3 improvement” includes commercial or
   64  residential buildings or structures of four or more stories in
   65  height and related improvements to such buildings or structures.
   66         4. “Category 4 improvement” includes an improvement that is
   67  not a category 1 improvement, category 2 improvement, or
   68  category 3 improvement.
   69         5.“Completion of the contract” means the later of the date
   70  of final performance of all the contracted services or the date
   71  that final payment for such services becomes due without regard
   72  to the date final payment is made.
   73         (b)Running of time to commence action.—An action founded
   74  on the design, planning, or construction of an improvement to
   75  real property must be commenced within the timeframes set forth
   76  in this section or the action is time barred.
   77         1. The time to commence the action runs from the date of
   78  actual possession by the owner, the date of the issuance of a
   79  certificate of occupancy, the date of abandonment of
   80  construction if not completed, or the date of completion of the
   81  contract or termination of the contract between the professional
   82  engineer, registered architect, or licensed contractor and his
   83  or her employer, whichever date is earliest.
   84         2. Counterclaims, cross-claims, and third-party claims that
   85  arise out of the conduct, transaction, or occurrence set out or
   86  attempted to be set out in a pleading may be commenced up to 1
   87  year after the pleading to which such claims relate is served,
   88  even if such claims would otherwise be time barred.
   89         3. If the action is based on construction that is performed
   90  pursuant to a duly issued building permit and if a local
   91  enforcement agency, state enforcement agency, or special
   92  inspector, as those terms are defined in s. 553.71, has issued a
   93  final certificate of occupancy or certificate of completion,
   94  then as to the construction which is within the scope of such
   95  building permit and certificate, the correction of defects to
   96  completed work or repair of completed work, whether performed
   97  under warranty or otherwise, does not extend the period of time
   98  within which an action must be commenced.
   99         (c) Limitations and repose periods.
  100         1. An action founded on the design, planning, or
  101  construction of an improvement to real property may be commenced
  102  within 4 years after the time to commence an action begins to
  103  run.
  104         2. An action involving a latent defect may be commenced
  105  within 4 years after the facts giving rise to the cause of
  106  action are discovered or should have be discovered through the
  107  exercise of due diligence. However, the action may not be
  108  commenced more than 5 years after the time for commencing an
  109  action begins to run for a category 1 improvement, 7 years for a
  110  category 2 improvement, 12 years for a category 3 improvement,
  111  and 10 years for a category 4 improvement.
  112         Section 2. Subsection (2) of section 627.441, Florida
  113  Statutes, is amended to read:
  114         627.441 Commercial general liability policies; coverage to
  115  contractors for completed operations.—
  116         (2) A liability insurer must offer coverage at an
  117  appropriate additional premium for liability arising out of
  118  current or completed operations under an owner-controlled
  119  insurance program for any period beyond the period for which the
  120  program provides liability coverage, as specified in s.
  121  255.0517(2)(b). The period of such coverage must be sufficient
  122  to protect against liability arising out of an action brought
  123  within the time limits provided in s. 95.11(12) s. 95.11(3)(c).
  124  
  125  ================= T I T L E  A M E N D M E N T ================
  126  And the title is amended as follows:
  127         Delete lines 3 - 6
  128  and insert:
  129         amending s. 95.11, F.S.; defining terms; revising the
  130         limitations period for certain actions founded on the
  131         design, planning, or construction of an improvement on
  132         real property; amending s. 627.441, F.S.; conforming a
  133         cross-reference; amending s. 558.004, F.S.; requiring
  134         a