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The Statutory Warranty Process
What happens after Statutory Warranty Forms are submitted?
For all freehold homes and condominium units with a date of possession on or after September 1, 2005.

When a homeowner submits a Statutory Warranty Form a specific process is triggered, including a series of time periods (outlined below). All time periods described below are subject to the December 24 to January 1 (inclusive) Holiday Period, in which any time period fixed in the Statutory Warranty Process will be extended if any portion of the time period occurs during this holiday period.  Time periods which would span, or would start or end during this holiday period will be extended by nine days and all related subsequent time periods will be adjusted so that they remain consecutive. For example, a time period which would otherwise end on December 28 will be extended to January 6; and a time period which starts December 15 and would otherwise end on January 13 will be extended to January 22.

Please note: There are a number of Exceptions to the Statutory Warranty Process which homeowners should be aware of. 

In addition, where a time period ends on a weekend or holiday, it is extended to the end of the next business day that is not a holiday.  For example, where the time period to submit a 30-Day Form ends on a Sunday, it will be extended to end on the next Monday where Monday is not a holiday.

 

The Initial Builder Repair Period (For 30-Day, Year-End and/or Second-Year Forms)

Submission of any one of these forms triggers an initial 120 day period during which builders should carry out repairs or work to correct a warranty-related item(s).  The builder's 120 initial repair period is as follows:

• The builder repair period for the 30-Day Form begins 31 days following the date of possession.  For example, if a home’s date of possession is October 23, 2005, the builder repair period for warranted items listed on a 30-Day Form would begin on November 23, 2005. 

• The builder repair period for the Year-End Form begins on the anniversary of the date of possession.  For example, if a home’s date of possession is October 23, 2005, the builder repair period for warranted items listed on a Year-End Form would begin on October 23, 2006. 

• The builder repair period for warranted items listed on a Second Year Form begins on the day after Tarion receives the Form.

Time period for homeowners to request Tarion’s involvement

If a builder does not complete repairs or otherwise resolve warranted items to a homeowner’s satisfaction by the end of the 120 day period, the homeowner will have 30 days to contact Tarion and request a conciliation.  This is a process in which Tarion assesses whether a disputed item is warranted and/or whether Tarion supports the way a repair was done. 

A conciliation may include an inspection at the home (when items requiring repair are involved) or a desk assessment (if items can be assessed based on a paper record). 

Once a request is made, Tarion will schedule a conciliation inspection with the homeowner between 30 and 60 days after the request date or arrange a desk assessment.  A $50 fee will be charged, which will be refunded if at least one item listed on the Statutory Warranty Form is determined to be warranted.

After requesting a conciliation, homeowners should send Tarion a copy of their purchase agreement and all its schedules, amendments and attachments, as well as any photographs that could support their claim.

If a conciliation is not requested during this time period, Tarion will consider all the items listed on a Statutory Warranty Form resolved and the matter closed.  (Note: Homeowners may resubmit the item(s) at a later date if the warranty covering the item(s) is still in effect.) 

 

IMPORTANT: Provide Access to Builders

When necessary work is required, homeowners should give their builder and their tradespeople access to their home during normal business hours, at a time mutually agreed upon in advance.  Failure to do so, could jeopardize a homeowner’s statutory warranty rights.
The Builder's Second Repair Period

After a homeowner requests a conciliation, their builder will have 30 days from the day that the request was made to repair or otherwise resolve the outstanding warranted items described on the Statutory Warranty Form.

Tarion Conciliates the Matter (Adjudicates the Dispute)

If the repairs are not completed by the end of the 30 days described above, Tarion will conduct the scheduled conciliation inspection with the homeowner and their builder present.  Tarion will then prepare a report of its findings within 30 days. This report will outline which items the builder must resolve under the terms of the statutory warranty and list those that are not covered. 

Please note: There may be items which require further investigation, and if so, homeowners will be notified.  Their builder will, in most cases, then be given 30 days after the date of Tarion’s report to resolve any warranted items.  The time period given to a builder may be extended beyond 30 days in certain situations:  including when weather conditions could interfere with the repair being made, or where materials required for the repair are unique and additional time is needed to obtain them.

The homeowner’s $50 fee will be refunded if there is at least one warranted item. 

Video and Audio Recording Policy

Tarion Warranty Corporation (“Tarion”) does not permit the video or audio recording of the conciliation or claim inspection process by builders or homeowners. Photographs, however, may be used to document any physical defects in a home which may eventually become the subject of an inspection.
 
The video or audio recording of a conciliation or claim inspection is not necessary for the inspection process to proceed properly and fairly. In Tarion’s experience, video and audio recordings have only served to interfere with the process. A video or audio recording of the conciliation or claim inspection process is also not necessary or of assistance in making an assessment of any construction deficiencies. When the results of a conciliation or claim inspection are reviewed by the Licence Appeal Tribunal, the assessment is typically made based on live testimony and documentary evidence.
 
A homeowner who insists on making a video or audio recording of an inspection and refuses to allow an inspection to proceed without making a video or audio recording, will prejudice his/her warranty rights. Where a builder refuses to participate in an inspection without making a video or audio recording, the inspection will be conducted without the builder’s participation. The builder may also prejudice, among other things, the builder’s appeal rights before the Builder Arbitration Forum, and the builder’s rights under the Waiver of Indemnity policy (Builder Bulletin 44).

Final Resolution

Tarion will contact homeowners 30 days after the date of the report to confirm that all the warranted items listed in the report have been repaired or otherwise resolved. If any of the items remain outstanding, Tarion will work directly with the homeowner to resolve them.

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