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Breach of Implied Warranties of Fitness and Merchantability

Maronda Homes, Inc. v. Lakeview Reserve Homeowners Association, Inc., 38 Fla. L. Weekly, 38 Fla. L. Weekly S573a, Supreme Court of Florida, Case No. SC10-2292, issued July 11, 2013.  Based on certified conflict with Port Sewell Harbor & Tennis Club Owners Association, Inc. v. First Federal Savings & Loan Association of Martin County, 463 So. 2d 530 (Fla. 4th DCA 1985), the court rejected Port Sewell and affirmed that an action for damages for breach of implied warranties of fitness and merchantability applied to defective subdivision infrastructure improvements, such as roadways, retention ponds, underground pipes and drainage systems, even though these improvements do not immediately support the residences since there met the “essential services” test. The court also refused to retroactively apply s. 553.835, effective July 2, 2012, prohibiting such implied warranties for off-site improvements, based on the plaintiff’s vested right in its cause of action accruing prior to this effective date, finding that to do so would be unconstitutional.

(From RPPTL Subcommittee)