489.1425

Duty of contractor to notify residential property owner of recovery fund.

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489.1425 Duty of contractor to notify residential property owner of recovery fund.—

(1) Each agreement or contract for repair, restoration, improvement, or construction to residential real property must contain a written statement explaining the consumer’s rights under the recovery fund, except where the value of all labor and materials does not exceed $2,500. The written statement must be substantially in the following form:

FLORIDA HOMEOWNERS’ CONSTRUCTION
RECOVERY FUND

PAYMENT, UP TO A LIMITED AMOUNT, MAY BE AVAILABLE FROM THE FLORIDA HOMEOWNERS’ CONSTRUCTION RECOVERY FUND IF YOU LOSE MONEY ON A PROJECT PERFORMED UNDER CONTRACT, WHERE THE LOSS RESULTS FROM SPECIFIED VIOLATIONS OF FLORIDA LAW BY A LICENSED CONTRACTOR. FOR INFORMATION ABOUT THE RECOVERY FUND AND FILING A CLAIM, CONTACT THE FLORIDA CONSTRUCTION INDUSTRY LICENSING BOARD AT THE FOLLOWING TELEPHONE NUMBER AND ADDRESS:

The statement must shall be immediately followed by the board’s address and telephone number as established by board rule.

(2)(a) Upon finding a first violation of subsection (1), the board may fine the contractor up to $500, and the moneys must be deposited into the recovery fund.

(b) Upon finding a second or subsequent violation of subsection (1), the board shall fine the contractor $1,000 per violation, and the moneys must be deposited into the recovery fund.

History.—s. 5, ch. 95-240; s. 11, ch. 96-298; s. 73, ch. 96-388; s. 6, ch. 2004-84; s. 7, ch. 2016-129.

Notes of Decisions

Cited in 2 cases, 2005–2009 · leading case: Edgewater by the Bay LLLP v. Gaunchez (In Re Edgewater by the Bay, LLLP)

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Edgewater by the Bay LLLP v. Gaunchez (In Re Edgewater by the Bay, LLLP) (2009) flsb · cites it 13× “First, Counterclaimants rely on Fla. Stat. § 489.1425 . That section, part of Chapter 489 regulating the construction industry, provides: (1) Any agreement or contract for repair, restoration, improvement, or construction to residential real property must contain a written…”

Midgett v. Department of Business & Professional Regulation, Construction Industry Licensing Board (2005) fladistctapp “mismanagement or misconduct in the practice of contracting that caused financial harm to a customer, (2) abandoned the construction project, (3) committed incompetency or misconduct in the practice of contracting, (4) failed to include in the agreement or contract a written…”

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