Home  /  Homebuyers  /  Resolving Disputes with a Builder

The typical house contains more than 3,000 different parts. These components must be assembled with skill to form the new product you will call home. Most problems are corrected routinely by the builder. However, if a non-routine problem should arise, you should follow certain procedures to correct the situation:

1. Identify the exact nature of the problem and gather any documentation to support the issue.
2. Work with your builder by contacting your builder representative. Builders strive to find a solution. 
3. Review your contract and warranty coverage. 
4. Write a letter documenting the complaint. Many builders require all complaints to be in writing.

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Notification Guidelines: Writing a Complaint Letter

• Include your name, address, and home and work telephone numbers.
• Type your letter if possible.
• Keep your letter brief and to the point.
• Include all relevant documents regarding the problem.
• State exactly what you want to be done and how soon you expect the problem to be resolved.
• Use respectful and professional language.
• Send copies, not originals. Keep the original copy of the letter for your files.

The Better Business Bureau

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The Better Business Bureau (BBB) offers complaint mediation and arbitration services that can help solve consumer/business problems. As private non-profit organizations, however, they cannot force a solution on parties to a dispute.​

The Office of the Attorney General

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Homeowners with unresolved complaints may contact the Office of the Attorney General. The Attorney General’s Consumer Complaint Division has a process to submit complaints online.​

Federal Trade Commission

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The Federal Trade Commission (FTC), the nation’s consumer protection agency, collects complaints about companies, business practices, identity theft, and other business-related issues.

The FTC’s Bureau of Consumer Protection stops unfair, deceptive, and fraudulent business practices by collecting reports from consumers and conducting investigations, suing companies and people that break the law, developing rules to maintain a fair marketplace, and educating consumers and businesses about their rights and responsibilities.​

Small Claims Court

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If the conflict between a homeowner and home builder or home remodeling contractor involves a contract dispute or allegations of fraud, then the Texas Justice of the Peace system or Municipal Small Claims Court may provide relief. These courts have filing fees that are much smaller than district courts, and the proceedings are less formal, with citizens representing themselves. In these courts, consumers may present their side to the judge using any information, documents, or witnesses that are relevant.​

Residential Construction Liability Act

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The Texas Legislature established the Residential Construction Liability Act (RCLA  “Rec-la”) , which applies to any action to recover from a construction defect except for personal injury, wrongful death, or damage to goods. Any party that files a suit under RCLA that is groundless and brought in bad faith or for purposes of harassment is liable for attorney’s fees and court costs.

The RCLA process:

• To formally start the RCLA process, the homeowner must give written notice to the contractor specifying in reasonable detail the construction defects of the home 60 days before taking any legal action. On request of the contractor, the homeowner must provide any evidence of the defect such as photos or inspection reports.

• The contractor shall have 35 days after receiving the notice to inspect the situation to determine any repairs necessary. A written offer of settlement must be submitted to the homeowner within 45 days of receiving, and if the offer is accepted – make the repairs within 45 days.

• The homeowner has the right to refuse the settlement offer or offer to repair, but they must provide details why the offer is being refused. If the offer is refused, the contractor may make a supplemental offer. If a homeowner does not permit the contractor to inspect the property or make repairs, then certain restrictions will apply to the homeowner’s ultimate settlement offer.​ ​

Online Resources

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Texas Office of the Attorney General
Better Business Bureau
​International Code Council
Federal Trade Commission