Substitute House Bill No. 5870
Substitute House Bill No. 5870
PUBLIC ACT NO. 97-48
AN ACT CONCERNING HOME WARRANTY CONTRACTS.
Be it enacted by the Senate and House of
Representatives in General Assembly convened:
Section 38a-320 of the general statutes is
repealed and the following is substituted in lieu
thereof:
(a) As used in this section, [and subsection
(b) of section 38a-769, a] "home warranty
contract" or "home warranty service agreement"
means any agreement [whereby] IN WHICH any person,
firm, corporation or association promises or
agrees to repair or replace any structural
component [, appliance in, or system or any part
thereof of,] OF a single or multiple-family
dwelling of four or less units, necessitated by
(1) wear and tear, (2) deterioration or inherent
defect, [or] (3) failure of an inspection to
detect the likelihood of wear and tear,
deterioration or such defect, OR (4) SUBSTANDARD
MATERIAL OR WORKMANSHIP. The provisions of this
subsection shall not apply to an agreement of any
seller with a purchaser, guaranteeing workmanship
and materials in connection with the sale of such
property.
(b) A home warranty contract or home warranty
service agreement as defined in subsection (a) of
this section shall constitute a contract of
insurance within the meaning of section 38a-319.
Approved May 14, 1997