FLORIDA
STATUTES 718 CONDOMINIUMS
July 1, 2021 |
718.202
Sales or reservation deposits prior to closing.
718.202 Sales or reservation deposits prior to closing.-- (1)
If a developer contracts to sell a condominium parcel and the construction,
furnishing, and landscaping of the property submitted or proposed to be
submitted to condominium ownership has not been substantially completed in
accordance with the plans and specifications and representations made by the
developer in the disclosures required by this chapter, the developer shall pay
into an escrow account all payments up to 10 percent of the sale price received
by the developer from the buyer towards the sale price. The escrow agent shall
give to the purchaser a receipt for the deposit, upon request. In lieu of the
foregoing, the division director has the discretion to accept other assurances,
including, but not limited to, a surety bond or an irrevocable letter of credit
in an amount equal to the escrow requirements of this section. Default
determinations and refund of deposits shall be governed by the escrow release
provision of this subsection. Funds shall be released from escrow as follows: History.— s. 1, ch. 76-222; s. 7, ch. 79-314; s. 3, ch. 80-323; s. 3, ch. 81-185; s. 9, ch. 84-368; s. 5, ch. 87-117; s. 14, ch. 90-151; s. 860, ch. 97-102; s. 14, ch. 2010-174; s. 10, ch. 2021-99. 718.203 Warranties.--
(1) The
developer shall be deemed to have granted to the
purchaser of each unit an implied warranty of
fitness and merchantability for the purposes or
uses intended as follows:
(a) As
to each unit, a warranty for 3 years
commencing with the completion of the
building containing the unit.
(b) As
to the personal property that is transferred
with, or appurtenant to, each unit, a
warranty which is for the same period as
that provided by the manufacturer of the
personal property, commencing with the date
of closing of the purchase or the date of
possession of the unit, whichever is
earlier.
(c) As
to all other improvements for the use of
unit owners, a 3-year warranty commencing
with the date of completion of the
improvements.
(d) As
to all other personal property for the use
of unit owners, a warranty which shall be
the same as that provided by the
manufacturer of the personal property.
(e) As
to the roof and structural components of a
building or other improvements and as to
mechanical, electrical, and plumbing
elements serving improvements or a building,
except mechanical elements serving only one
unit, a warranty for a period beginning with
the completion of construction of each
building or improvement and continuing for 3
years thereafter or 1 year after owners
other than the developer obtain control of
the association, whichever occurs last, but
in no event more than 5 years.
(f) As
to all other property which is conveyed with
a unit, a warranty to the initial purchaser
of each unit for a period of 1 year from the
date of closing of the purchase or the date
of possession, whichever occurs first.
(2) The
contractor, and all subcontractors and
suppliers, grant to the developer and to the
purchaser of each unit implied warranties of
fitness as to the work performed or materials
supplied by them as follows:
(a) For
a period of 3 years from the date of
completion of construction of a building or
improvement, a warranty as to the roof and
structural components of the building or
improvement and mechanical and plumbing
elements serving a building or an
improvement, except mechanical elements
serving only one unit.
(b) For
a period of 1 year after completion of all
construction, a warranty as to all other
improvements and materials.
(3) “Completion
of a building or improvement” means issuance of
a certificate of occupancy, whether temporary or
otherwise, that allows for occupancy or use of
the entire building or improvement, or an
equivalent authorization issued by the
governmental body having jurisdiction. In
jurisdictions where no certificate of occupancy
or equivalent authorization is issued, the term
means substantial completion of construction,
finishing, and equipping of the building or
improvement according to the plans and
specifications.
(4) These
warranties are conditioned upon routine
maintenance being performed, unless the
maintenance is an obligation of the developer or
a developer-controlled association.
(5) The
warranties provided by this section shall inure
to the benefit of each owner and his or her
successor owners and to the benefit of the
developer.
(6) Nothing
in this section affects a condominium as to
which rights are established by contracts for
sale of 10 percent or more of the units in the
condominium by the developer to prospective unit
owners prior to July 1, 1974, or as to
condominium buildings on which construction has
been commenced prior to July 1, 1974.
(7) Residential
condominiums may be covered by an insured
warranty program underwritten by a licensed
insurance company registered in this state,
provided that such warranty program meets the
minimum requirements of this chapter; to the
degree that such warranty program does not meet
the minimum requirements of this chapter, such
requirements shall apply.
History.—s.
1, ch. 76-222; s. 1, ch. 77-221; s. 8, ch.
77-222; s. 3, ch. 78-340; s. 9, ch. 79-314; s.
11, ch. 91-103; s. 5, ch. 91-426; s. 8, ch.
92-49; s. 861, ch. 97-102; s. 4, ch. 2015-165.
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