AN ACT to amend Tennessee Code Annotated, Title 28, relative to the dispute resolution process for matters involving real property.
Summary
HB0734 amends Tennessee’s statute of repose for claims arising from deficiencies in the design, planning, supervision, observation, or construction of improvements to real property. Under the bill, actions, arbitrations, or other binding dispute resolution proceedings seeking damages for such deficiencies, including related property damage, personal injury, or wrongful death, must be brought within four years after substantial completion of the improvement. The bill preserves an existing exception for actions brought under Tennessee Code Annotated § 28-1-114(a).
Impact
The bill directly changes Tennessee Code Annotated § 28-3-202 by replacing the prior section and establishing a four-year deadline tied to substantial completion for construction-related defect claims involving real property. This affects owners, contractors, architects, engineers, builders, and other parties involved in the design and construction of improvements to real property, as well as litigants pursuing related arbitration or other binding dispute resolution. The act takes effect July 1, 2026.
Sentiment
The available voting history suggests the bill was generally supported in committee. It received a unanimous 6-0 recommendation in the House Civil Justice Subcommittee and a 13-3 recommendation in the House Judiciary Committee, indicating broad but not complete agreement. No committee transcript is available, so the record does not show detailed debate or stated concerns.
Contention
The main likely point of contention is the shortened or clarified time window for bringing construction-defect and related injury claims, which can benefit design and construction professionals by limiting long-tail liability but may be viewed by property owners and claimants as restricting access to remedies. The recorded committee votes show some opposition in the House Judiciary Committee, but there is no transcript to identify the specific objections or the members who raised them.