Condominium Warranties

What is a Warranty of Quality relating to condominiums?

A warranty of quality is a guarantee that the quality of a condominium being sold is as represented or promised.

What is an Express Warranty of Quality relating to condominiums?

An express warranty of quality is a warranty of quality that is created by the overt actions of the seller of the condominium unit.

How is an Express Warranty of Quality created?

Express warranties are representations made by any seller of a condominium unit to a buyer of a unit, if relied upon by the buyer, that may be created in the following manner:
1.      Writing
Any written or printed affirmation of fact or promise relating to a unit, its use, or associated rights, area improvements to the condominium that would directly benefit the unit, or the right to use or have the benefit of facilities not located in the condominium, creates an express warranty that the unit and related rights and uses will conform to the affirmation or promise; (See R.I.G.L. 34-36.1-4.13(a)(1))
2.      Model
Any model or description of the physical characteristics of the condominium, including plans and specifications of or for improvements, creates a warranty that the condominium will substantially conform to the model or description; and (See R.I.G.L. 34-36.1-4.13(a)(2))
3.      Description
Any description of the quantity or extent of the real estate of the condominium, including plats or surveys, creates an express warranty that the condominium will conform to the description, subject to customary tolerances. (See R.I.G.L. 34-36.1-4.13(a)(3))
Note however…
Lawful use –
Any provision (in the form of a writing, model, or a description) that a buyer may put a unit to a specified use is an express warranty that the specified use is lawful. (See R.I.G.L. 34-36.1-4.13(a)(4))
Formal words –
Formal words such as “warranty” or “guarantee” are NOT required to create an express warranty of quality. (See R.I.G.L. 34-36.1-4.13 (b))
Specific intention –

A specific intention to make a warranty is not necessary to create an express warranty of quality. (Id.)

Mere opinion
A statement purporting to be merely an opinion of the real estate or its value does not create an express warranty of quality. (34-36.1-4.13 (b))
Previous Sellers
Any conveyance of a condominium unit transfers to the purchaser all express     warranties of     quality made by previous sellers. In other words the warranty is             transferable. (34-36.1-4.13 (c))

What is an Implied Warranty of Quality?

A warranty of quality that arises by operation of law based on the circumstances related to the sale of the condominium and not based on any express promise by the seller.

How is an Implied Warranty created?

In the case of the declarant and any person in the business of selling real estate for his or her own account, Warranties of quality will be implied as follows:
1.      A condominium unit will be in at least as good condition at the earlier of the time of the conveyance or delivery of possession as it was at the time of contracting, reasonable wear and tear excepted. (See R.I.G.L. 34-36.1-4.14(a))
2.      A unit and the common elements are suitable for the ordinary uses of real estate of its type and that any improvements made before the creation of the condominium, will be:
a.       Free from defective materials; and
b.      Built in accordance with applicable law, according to sound engineering and construction standards, and in a workmanlike manner. (34-36.1-4.14(b))

3.      Residential Units – the existing use does not violate applicable law at the earlier of the time of conveyance or delivery of possession. (See R.I.G.L. 34-36.1-4.14(c))


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