תוכן עניינים
- Construction Defects in a New Apartment: Haifa District Court Awards High Compensation to Buyers
- What Were the Defects and How Did the Court Examine Them
- The Contractor Carried Out Some Repairs but the Court Still Awarded Compensation
- How Much Exactly Did the Court Order to Be Paid
- Legal Principles Arising from This Ruling
- How New Apartment Buyers Should Behave
- Frequently Asked Questions
By: Adv. Michael Lev
Construction Defects in a New Apartment: Haifa District Court Awards High Compensation to Buyers
The District Court in Haifa recently ruled (Case No. 339-06-19) awarding significant compensation to an apartment-buying couple who suffered numerous construction defects. This ruling is of great importance: it establishes the rights of buyers when serious defects appear in a new apartment. At our office, we regularly handle such matters, and this ruling is based on critical legal principles for anyone who has purchased or is about to purchase an apartment.
The plaintiffs purchased the apartment from a contractor under an agreement signed on June 25, 2015, and received possession on February 7, 2018. Upon moving in, numerous problems emerged: moisture defects, seepage issues, and noise from the elevator. Judge Avishi Roves ruled in his judgment that the plaintiffs are entitled to total compensation amounting to 76,982 NIS.
What Were the Defects and How Did the Court Examine Them
When informed that the apartment was ready for handover, the plaintiffs consulted a construction expert who identified defects valued at 71,270 NIS. The contractor was required to carry out the repairs, but during the repair process the apartment was further damaged, causing a delay in delivery. Even after delivery, additional problems emerged, and the lawsuit was therefore filed.
As part of the process, the court appointed its own expert who conducted a thorough inspection. This expert determined that serious moisture defects exist requiring repair costing 54,800 NIS, and an additional waterproofing guarantee worth 6,300 NIS. Here one can see the weight of an objective expert opinion appointed by the court, whose view commands great credibility in the eyes of the judge.
The Contractor Carried Out Some Repairs but the Court Still Awarded Compensation
The contractor performed several repairs under the supervision of the expert, including replacing the flooring throughout the apartment. Nevertheless, the court concluded that the defects were serious and had significantly impacted the plaintiffs’ ability and willingness to enjoy their apartment. Two points that guided the judge were the length of time the apartment was under repair (over two months) and the disruption to the family’s daily life.
At our office we explain to all our clients clearly: the contractor’s right to make repairs is not unlimited. They cannot use it as they wish, and certainly not if additional damage to the apartment or the buyers’ lives results from it.
How Much Exactly Did the Court Order to Be Paid
The judge imposed broad obligations on the contractor. They include:
25,000 NIS for emotional distress, taking into account the nature of the required repairs, the time the repair process took, and the need to vacate the apartment.
26,982 NIS for legal costs.
25,000 NIS for attorney’s fees.
The sum awarded for emotional distress reflects the severity of the defects and the impact on the quality of life of the plaintiffs. In this ruling an important principle was given practical expression: courts are willing to recognize psychological and emotional damage suffered by apartment buyers as a result of construction defects.
Legal Principles Arising from This Ruling
This ruling raises several important general points. First, the weight of an expert opinion appointed by the court is high, and it is rejected only in exceptional circumstances. Second, moisture and seepage problems are not trivial defects but significant breaches of the purchase agreement. Third, contractors cannot hide behind partial repairs to avoid full liability for construction defects.
In the context of our practice, we see in this ruling a strong endorsement of apartment buyers’ rights. It clarifies that contractors cannot shelter behind partial repairs to evade full liability for construction defects.
How New Apartment Buyers Should Behave
Based on this ruling and our extensive experience, we recommend every apartment buyer the following steps: hire a construction expert to conduct a professional inspection before receiving possession, document every defect that appears in detail, contact the contractor in writing within the legally prescribed period, preserve all correspondence with the contractor on the subject of repairs, and consult with an attorney specializing in the field if significant defects emerge.
Important to note: the contractor’s right to make repairs is not a tool to use as they please, and certainly not if additional damage to the apartment or to the buyers’ lives results. A delay in filing a claim may harm your rights and also the prospect of receiving full compensation.
Want free legal advice on construction defects and apartment buyers’ rights? Contact our office today
The above is not legal advice. For advice tailored to your specific circumstances, please consult an attorney.
Frequently Asked Questions
In what circumstances should one go to court over construction defects?
It is appropriate to file a claim when the contractor fails to repair significant defects within a reasonable period, or when the defects prevent or obstruct normal use of the apartment. Before this step it is important to consult with a legal advisor specializing in the field.
What is meant by “emotional distress” and when is one entitled to compensation for it?
This compensation takes into account the stress and emotional pain of a family compelled to deal with construction defects in their home. It is not included in the repair costs and is in addition to them.
When is it better for the buyer to carry out the repairs themselves?
When the contractor fails to repair, or repairs partially or inadequately, despite several requests. Provided the plaintiff acted in accordance with the provisions of the law and the preliminary stages.
How is the compensation amount determined?
The expert appointed by the court examines four key variables: what exactly the defects are, how much it costs to repair them, how much the apartment’s value has fallen, and how much the residents have suffered beyond the repair costs. Want free advice? Contact our office today.
How long do I have to file a claim against a contractor for construction defects?
You must contact the contractor in writing within the period stipulated in the Sale (Apartments) Law. The article recommends not delaying the filing of a claim as delay may harm your rights and the prospect of receiving full compensation.
