Do You Have a Recovery Fund Notice In Your Contracts?

by | Nov 16, 2021 | Contracts

There are a lot of provisions which contractors include in their construction contracts.  But one they best not forget in Florida, on any residential project that is over $2,500, is the inclusion of the Construction Recovery Fund Notice.  

This lets homeowners know they have an available remedy if a licensed contractor doesn’t perform as required and the homeowner suffers monetary damages.  Whatever the wrong, the owner may be entitled to recover a limited amount from the Fund.  

The Notice needs to be substantially in the following format:  

FLORIDA HOMEOWNERS’ CONSTRUCTION RECOVERY FUND 

PAYMENT, UP TO A LIMITED AMOUNT, MAY BE AVAILABLE FROM THE FLORIDA HOMEOWNERS’ CONSTRUCTION RECOVERY FUND IF YOU LOSE MONEY ON A PROJECT PERFORMED UNDER CONTRACT WHERE THE LOSS RESULTS FROM SPECIFIED VIOLATIONS OF FLORIDA LAW BY A LICENSED CONTRACTOR.  FOR INFORMATION ABOUT THE RECOVERY FUND AND FILING A CLAIM, CONTACT THE FLORIDA CONSTRUCTION INDUSTRY LICENSING BOARD AT THE FOLLOWING TELEPHONE NUMBER AND ADDRESS:  (850) 471-1396; 2601 BLAIR STONE ROAD, TALLAHASSEE, FLORIDA 32399.

Failing to include this statement can result in a violation and fine by the Construction Licensing Board of $500 the first time and $1,000 for a second, subsequent violation.

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