[21] Until 1983, fraud actions were subject to a six-year statute of limitations. 170, 427 A.2d 730 (1981); Safeguard Inv. Further, the Act requires that any contract include a notice of the owners right to rescind the contract without penalty within three business days of the date of signing, regardless of where the contract was signed. 5525(8) (four year limitation); 13 P.C.S. Yes, subcontractors who perform home improvements must register even if they do not enter agreements directly with consumers. 326, Art. It appears that the Pennsylvania legislature has heard those stories as well, for on July 1, 2009, a new Home Improvement Consumer Protection Act will take effect in the Commonwealth of Pennsylvania. . [17] Id. Under Section 517.6 of the Act, this registration number must be included in all of the contractors advertisements, contracts, estimates and proposals created by the contractor after July 1, 2009. It must be noted that the definition of home improvement fraud is more extensive than noted above, but cannot be cited fully due to the confines of space. tit. 106-1202(c); Idaho Code Ann. Pennsylvania's statutes of limitation are actual statutes located at 42 Pa.C.S.A. 646.605; R.I.Gen.Laws Ann. 121 1/2, 261; Iowa Code Ann. 201-2(4)(i) (passing off goods or services as those of another) See Bisceglia Bros. Corp. v. Fruit Industries, 20 F. Supp. In the case of Merv Swing Agency, Inc. v. Graham Co., 579 F. Supp. Contractors can register by online or by sending in the registration form. If the vehicle does not have advertising promoting the business, then the contractor is not required to display their registration number on the vehicle. The Act also prohibits a home improvement contractor from changing the contractors name, address, liability insurance information or any other identifying information in a fraudulent or deceptive manner likely to cause confusion or misunderstanding without advising the owner in writing within ten days following any such change. This is due to the longer statute of the UTPCPLS (6 years for the unfair trade practices and consumer protection law versus 2 years for breach of contract), and the additional monetary compensation that may be awarded. In short, no home improvement contractor will be permitted to use any form of advertising or promotional material that does not allow the consumer to trace that contractor through a registration number to the Pennsylvania Bureau of Consumer Protection. HOA LAWS AND REGULATIONS. If you were misled or defrauded by a home contractor, you could be entitled to compensation for your losses. Do building superintendents or the maintenance staff for apartment buildings, condominiums, or community associations need to register? In such a case, while the subcontractor who installs materials bought from the large retailer will be governed by the Act, the large retailer, in most particulars, will not be. [4] This principle is, of course, subject to the qualification that an amendment may not add a new cause of action on which a particular statute of limitations has run. Our attorneys at Wolf, Baldwin & Associates are able to answer your questions regarding these matters. However if an employees perform home improvements on private residential properties on their own, outside the scope of their employment, and that works totals $5,000 or more in a calendar year, then the employee must register as a contractor. for those of another"). 598.440; N.H.Rev.Stat.Ann. 229, 259 S.E.2d 1 (1979), the Court of Appeals of North Carolina was required to determine the appropriate statute of limitations for the North Carolina Unfair Trade Practices Statute. 6-13.1-1; S.C.Code Ann. Section 517.5 - Application fees. 276, 513 A.2d 427 (1986) (Unfair Insurance Practices Act); Culbreth v. Lawrence J. Miller, 328 Pa.Super. We are experienced in handling a variety of Consumer Protection cases. See Zerpol Corp. v. DMP Corp., 561 F. Supp. The operative provision of the Unfair Trade Practices and Consumer Protection Law provides: "Unfair methods of competition and unfair or deceptive acts or practices in the conduct of any trade or commerce . . Statutes of limitations (time limits for filing your complaint) for civil lawsuits in Pennsylvania, including personal injury; false imprisonment; defamation; fraud; damage to personal property; professional malpractice; and trespassing. If you need help with Pennsylvania unfair trade practices and consumer protection law, you can post your legal need on UpCounsel's marketplace. What needs to be in contracts for home improvements? shall be liable to a civil action by any person doing business in the locality falsely indicated as that of origin or in the region which said locality is situated, or by any person who believes that he is or is likely to be damaged by the use of such false description or representation. On or about June 19, 1980, appellants agreed to purchase the premises for the sum of $20,500.00. The Act, located at 73 Pa.C.S. 5522-5527. Such requirements include contractors' registering with Pennsylvania's Office of Attorney General, obtaining a registration number, and paying the necessary registration fees. judy norton children; court ordered community service california The clause states whether the facts of the dispute and related documents are confidential. Id. It is recommendedthat you carefully review theHome Improvement Consumer Protection Actand consult with a private attorney if you have any questions about the law or need legal advice. (xvii) (miscellaneous fraudulent practices). Specifically, under HICPA, a contractor is anyone who undertakes or agrees to perform home improvement work, including: Improvement. 260, 1, 73 P.S. This approach, however, yielded inconsistent determinations. The broad construction mandated by the core concerns of the legislature in enacting the UPTCPL allowed our Supreme Court in Commonwealth v. Monumental Properties, supra, to hold that the leasing of residential real *390 estate was within the purview of the statute's intendment. We suggest that you include the following language in your contracts, and display it prominently so your customers can review it: The official registration number of [contractor name] can be obtained from the Pennsylvania Office of Attorney Generals Bureau of Consumer Protection by calling toll-free within Pennsylvania 1-888-520-6680. . 559 (1979) (consent order against realtor for nondisclosure of unavailability of sewage and water); Kaufman & Broad, Inc., 93 F.T.C. 201-2(3) (emphasis added). What information is required to register? What is the Home Improvement Consumer Protection Act? This amendment applies only to causes of action accruing after its effective date in February, 1983. 2313 (express warranty), 2314 (implied warranty of merchantability), 2315 (implied warranty of fitness for a particular purpose). The Pennsylvania legislature in 1976 enacted a new, all-inclusive limitation of actions statute. Does the Home Improvement Consumer Protection Act affect the licensing or registration of home improvement contractors by counties, cities or towns? Only the first 5 bills are included here. The district court held that the plaintiff's common law libel claim was time-barred by 42 P.C.S. Additionally, the Court was mindful of the consequences of a contrary interpretation as well as the intent of the legislature: Id., 459 Pa. at 474, 478, 329 A.2d at 824, 826. 201-3 (emphasis added). The enforcement of this law falls under the jurisdiction of the Consumer Protection Bureau of the Pennsylvania Attorney General's office. Subsequently, on July 28, 1986, appellants filed a petition for leave to amend their complaint in order to include a claim for violation of the Unfair Trade Practices and Consumer Protection Law. ch. 52-576 et seq. These prohibited acts include the failure to refund the amount paid for home improvements within ten days after demand if no substantial portion of the contract work has been performed at the time of the request, and if more than forty-five days have elapsed since the starting date specified in the written contract. The UTPCPL supplements rather than supplants traditional common law remedies with per se liability for a variety of unfair trade practices.[8]. The law says that registration numbers must be included in all advertisements, contracts, estimates and proposals - how do I display my number? The bureau has a complaint process and will conduct an investigation, but cannot recover civil damages for you. [20] Violations of several other statutes also constitute violations of the UTPCPL. Thus, if a six-year statute of limitation is allowable for UTPCPL claims, appellants' claim for treble damages and reasonable attorney's fees, although under UTPCPL, would justify an amended complaint pursuant to section 201-9.2(a) of the statute: Thus, while appellants would not technically be out of court because the claims for fraud and breach of contract and warranty were timely filed, the de facto result would be that appellants would be precluded from seeking recovery of damages and attorney's fees to which they may be entitled under the UTPCPL. The toll-free phone number of the Home Improvement Contractor Consumer Helpline (1-888-520-6680) needs to be in there as well. 1937) (defining passing off as "the sale . [21] Even if we were to conclude that all actions brought pursuant to the UTPCPL sounded in deceit or fraud, what with appellants' additional claims under UTPCPL the six-year "catchall" limitation of section 5527(6) would be applicable. 93A, 1(b) & 9(1); Mich.Stat.Ann. [22] We are unable, therefore, to characterize all the multifarious claims that may be brought under the UTPCPL as "fraud" or "deceit." This new statute, however, contained no express limitation on actions for fraud and deceit. as being based on the Federal Trade Commission Act"); Commonwealth v. Flick, 33 Pa.Commw. II, 201, 42 P.C.S. Appellants are individuals and owners of residential property located at 5714 Marshall Street in Philadelphia. 429 (E.D.Pa.1983), the action was for libel and for "[d]isparaging the goods, services or business of another by false or misleading representation of fact" under the Unfair Trade Practices and Consumer Protection Law. The term includes a subcontractor or independent contractor who has contracted with a home improvement retailer, regardless of the retailers net worth, to provide home improvement services to the retailers customers. How should I list the Bureau of Consumer Protection's phone number in my contracts? As such, the Court adopted North Carolina's three-year "catchall" statute of limitations, adding "that where there is doubt as to which statute of limitations should apply, the longer statute should be chosen." Accordingly, the order of the *399 trial court is reversed and permission to amend the complaint is granted. Since section 201-9.2 of the UTPCPL provides for a civil action which is not subject to a limitations period, the Unfair Trade Practices and Consumer Protection Law is subject to the six-year "catchall" statute of limitations. These questionshighlight key areas of the law, however, are not a complete explanation of the statute and is not a legal opinion. Barr, supra, 520 A.2d at 490. Home Improvement Consumer Protection Act Page 3 Amended 7.07.11 & 10.22.14 (b) Public access to registration information.--The bureau shall maintain a toll-free [14] 73 P.S. The failure to register is a violation of the law and unregistered contractors face legal action, including civil penalties of $1,000 or more. Updated November 5, 2020: Pennsylvania unfair trade practices and consumer protection law (UTPCPL) is used to protect consumers and purchasers of household goods and services. [u]pon a statute, for a penalty or forfeiture" was applicable. Harrisburg, PA 17120 In 2008, the Pennsylvania Legislature passed the Home Improvement Consumer Protection Act. ; 52-584 ; 52-584a. pennsylvania cash consumer protection act pennsylvania cash consumer protection act (No Ratings Yet) . under the pennsylvania home improvement consumer protection act (pa hicpa) (effective july 1, 2009), for all home improvements in pennsylvania with an actual cash value in excess of $500.00 the contractor will have to provide, to the homeowner, a formal written contract that meets the all of the requirements of . Statute of Limitations on Contract/Sales in Pennsylvania Pennsylvania law is replete with various statutes of limitation, governing the length of time which aggrieved parties have in order to file their claims in the appropriate court. See also Pennsylvania Retailers Ass'n. The Arizona Supreme Court affirmed. We agree for the reasons that follow. Consequently, the impact of unfair or deceptive practices is greatest in this type of transaction. . No. Like the North Carolina and Arizona Courts, we find that the application of the six-year "catchall" period of limitations will effectuate the broad remedial policies of the legislature in enacting this statute and ensure that those consumers injured by unfair or deceptive practices may pursue their rights under the UTPCPL. Are time and materials contracts allowed? 59.1-198; Wash. Rev.Code Ann. Another ruling for those who violate deceptive trade practices may be an injunction against engaging in that business, either temporarily or permanently. If there are subcontractors that are going to be working on the project, and are known at the time the contract is executed, their names, addresses, and phone numbers should be included as well. 232, 237, 426 A.2d 712, 717 (1981); Commonwealth v. Kane, 33 Pa.Commw. Accord Best v. Hammill Quinlan Realty Co., Inc., 18 D. & C.3d 31 (Wash. 1980). However, contractors must include their registration number in their advertisements, contracts, estimates and proposals. 73 P.S. [1] In its view, appellants' amended cause of action was barred by Pennsylvania's two-year limitations period for fraud,[2] rather than the six-year "catchall" limitation period,[3] since it was the closest analogy for appellants' statutory claims. Section 517.6 - Proof of registration. [7] Compare 73 P.S. :The Act applies to condominiums created after the Act's effective date (120 days from July 2, 1980). 5522-5527. 6 years for contracts3 years for torts2 years for negligence. [7] 15 U.S.C. The statute also establishes minimum insurance requirements for contractors; requires contractors to provide their registration number in their ads and contracts; establishes required contract terms for home improvement contracts; prohibits unfair business practices; and creates a criminal penalty for home improvement fraud. Construction, replacement, installation or improvement of driveways, swimming pools, pool houses, porches, garages, roofs, siding, insulation, solar energy systems, security systems, flooring, patios, fences, gazebos, sheds, cabanas, landscaping work (other than work performed under the Plant Pest Act), painting, doors and windows and waterproofing. What should I do if my information changes after I register? The act also requires all contracts for home improvements of more than $500 to be in writing and be signed by the consumer and the contractor. The law requires contractors to submit a completed application which includes among other information: Effective October 22, 2014, HICPA was amended to require that contractors update the information supplied in their application for registration within thirty (30) days of any change. attorneygeneral.gov/resources/home-improvement-contractor-registration/contractor-frequently-asked-questions/, https://www.consumerlawpa.com/home-contractor-fraud/, "We would like to say beyond a normal thank you how much Bob and I appreciate what you have done for us in more than one legal situation. . All home improvement contractors must register, with the exception of those performing less than $5,000 of work in a calendar year and retailers with a net worth of $50 million. It exists to prevent businesses from participating in deceptive or unfair practices or inequitable competition. A home improvement retailer having a net worth of more than $50,000,000 or an employee of that retailer that does not perform home improvements. On July 1, 2009, a new consumer protection law goes into effect. [13] 73 P.S. 1921(b). The definition of home improvement fraud also includes misrepresenting or concealing a contractors identity while soliciting a person to enter into an agreement for home improvement services, damaging a persons property with the intent to induce, encourage or solicit a person to enter into a contract for home improvement services, misrepresenting an item as a special order material or misrepresenting the cost of any special order material, and directly or indirectly publishing a false or deceptive advertisement in violation of the Act. Act No. 6-1-102; Conn.Gen.Stat.Ann. For instance, under this state law, only agreements that are in writing are considered legally enforceable. Finally, the Act sets forth a number of prohibited acts which, though not necessarily constituting crimes, can result in the imposition of civil liability. The plaintiffs in Murry brought suit against a mortgage lender and a subdivision developer for damages sustained as a result of defects in their newly constructed house. An Act providing for cause of action for antitrust conduct, for indirect purchaser recovery under State antitrust laws and for premerger notice of . The defendant in that case argued that the treble damages provision of the statute was analogous to a penalty and that therefore the one-year statute of limitations for "an action of proceeding . You're all set! This new statute, however, contained no express limitation on actions for fraud and deceit. . Inexplicably, the legislature, in enacting the UTPCPL failed to include a statute of repose for either actions for damages or injunctive relief under section 201-9.2. The Home Improvement Consumer Protection Act only applies to work done in connection with a private residence, which term includes a single family dwelling, a multifamily dwelling consisting of not more than two units, or any single unit located within any multifamily dwelling, including condominiums and co-op units. (1) "Documentary material" means the original or a copy of any book, record, report, memorandum, 1033, 42 Pa.C.S.A. Hire the top business lawyers and save up to 60% on legal fees. [18] 42 P.C.S. The Act applies to any person who owns and operates a home improvement business or who undertakes offers or agrees to perform any home improvement, including a subcontractor who has contracted with a home improvement retailer to provide home improvement services to the retailers customers. . Do hardware stores or businesses that supply products and equipment used in home improvements need to register? Home improvement contractors would be well advised to consult with counsel regarding their legal rights and prohibitions prior to the July 1st effective date of the new Act. Sign up for our free summaries and get the latest delivered directly to you. Finally, its important to note that under state law, homeowners have the legal right to rescind a home improvement contract without incurring any penalties, as long as they do so within three days of signing. While the UTPCPL governs only Pennsylvania businesses, the Supreme Court recently ruled that it does also apply to acts of Pennsylvania-based companies, even if these acts happen outside of Pennsylvania. In addition, the Federal Trade Commission has invoked jurisdiction over real estate sales transactions. Id. These questions highlight key areas of the law, however, are not a complete explanation of the statute and is not a legal opinion.