*Red font in the legislation and regulation indicates changes from previous reporting

Florida – HB 877/ SB 1092 (Construction)

Issue: Construction Contractor Fraud Updates

Affects:  Those who build pools/spas

Send comments to:  Jennifer Hatfield, jhatfield@apsp.org

Bill Summary: This bill relates to the reduction of construction contracting fraud.  It amends the code to delete the intent requirement for contractor fraud offenses and revises the elements of offenses and criminal penalties. 

Proof that a contractor received money for the repair, restoration, addition, improvement, or construction of residential real property and that the amount received exceeds the value of the work performed by the contractor is shown when:

1. The contractor failed to perform any of the work for which he or she contracted during any 90-day period (previously 60 days); 

2. The failure to perform any such work during the 90-day period  (previously 60 days) was not related to the owner's termination of the contract or a material breach of the contract by the owner; and

3. The contractor failed to perform for 90 days due to just cause or terminated the contract without proper notification to the owner (previously was an additional 30-day period after the date of mailing of notification as specified in paragraph (c), to perform any work for which he or she contracted.)

Proper notification for purposes must be made by the contractor in the form of a letter that includes the reason for termination of the contract or the failure to perform sent via certified mail, return receipt requested, mailed to the last address of the owner in the written contracting agreement. If there is no address for the owner listed in the contracting agreement, or no written agreement exists, the letter must be mailed to the address of the payment received or the letter must be filed as a notice of termination with the building department with jurisdiction over the improvement.

Status: Both bills died May 3, 2019.

HB 877: http://www.flsenate.gov/Session/Bill/2019/877/BillText/Filed/PDF

SB 1092:  http://www.flsenate.gov/Session/Bill/2019/1092/BillText/Filed/PDF