An Act To Amend Titles 19 And 29 Relating To Home Improvement Dispute Resolution.
Summary
HB89 establishes a formal Home Improvement Dispute Resolution Process within the Division of Consumer Protection at the Department of Justice to help resolve disputes between homeowners and home improvement contractors. Before a buyer can use the process, the buyer must first send the contractor a written request to resolve the dispute on an approved form, signed under penalty of perjury, and give the contractor 20 days to respond. If the contractor does not respond or the dispute remains unresolved, the buyer may apply to the Division for assistance, after which the Division notifies the contractor and attempts to mediate the matter.
The bill requires contractors to participate in the process in good faith and defines conduct that may show good faith, such as timely responses, written explanations, reasonable settlement offers, and repair or mitigation efforts. Communications in the process are generally treated as compromise negotiations and are limited in later litigation, though they may be considered on the issue of good-faith participation. The bill also creates a link between the dispute-resolution process and enforcement: failure to respond or participate in good faith is deemed an unlawful practice under the Consumer Fraud Act, is presumed willful unless rebutted by good cause, and triggers notice to the Department of Labor.
Impact
HB89 amends Title 29 to create a new consumer dispute-resolution framework for home improvement contracts and amends Title 19 contractor registration laws to add nonparticipation in the process as a registration-related concern. It authorizes the Division of Consumer Protection to administer the process, requires contractor notice and response procedures, and allows the state to treat noncompliance as a consumer fraud violation. It also permits the Department of Labor to be notified of contractor failures and allows the Department to deny, suspend, or revoke a contractor’s registration certificate for failing to participate in good faith. In private lawsuits involving home improvement disputes, the bill allows recovery of actual damages, court costs, and attorney’s fees, and in qualifying cases permits treble damages.
Sentiment
The bill appears generally favorable in purpose and design, with a consumer-protection orientation aimed at giving homeowners a structured, state-assisted way to resolve contractor disputes before or alongside litigation. The available context does not include committee testimony or recorded votes, so there is no documented opposition or support from debate to gauge beyond the bill’s text and synopsis. On its face, the measure reflects a policy preference for stronger contractor accountability and more accessible remedies for consumers.
Contention
The main points of potential contention are the mandatory nature of contractor participation, the use of a failure to participate in good faith as a Consumer Fraud Act violation, and the regulatory consequences that can follow, including notice to the Department of Labor and possible denial, suspension, or revocation of registration. Contractors may also object to the bill’s presumption that a violation is willful, the possibility of treble damages, and the fact that communications in the process can later be used in court for the limited purpose of evaluating good faith. The bill attempts to limit one possible dispute by stating that whether a contractor accepted a settlement proposal cannot be used to judge good faith, but the overall enforcement structure still creates meaningful exposure for contractors who do not engage promptly and substantively.
An Act To Amend Title 26 Of The Delaware Code Relating To Public Utilities And Voting By Members Of The Pjm Interconnection Regional Transmission Organization.
State management: purchasing; awarding contracts to entities that donate or contribute to certain political candidates or committees; prohibit. Amends 1984 PA 431 (MCL 18.1101 - 18.1594) by adding sec. 264b.