Homes by Taber, LLC

A. Binding Arbitration. Any and all disputes which may arise between Buyer and Builder relating to the Single Family Home, the Property or this Limited Warranty, including (i) claims that the Builder was negligent or committed fraud in building the Single Family Home and/or selling the Property; and (ii) disputes over what is covered by this Limited Warranty shall be resolved by binding arbitration, in the manner described in “Requesting Warranty Performance Under This Limited Warranty” below.

B. Builder’s Choice of Remedy. If You discover a Defect during the Limited Warranty, Builder will repair, replace, or pay You the reasonable cost of repairing or replacing the Defect within a reasonable time after Builder’s inspection or testing confirms the existence of the Defect. The choice among repair, replacement or payment is solely that of the Builder.

C. Complaints in Writing. You must inform Builder of complaints under this Limited Warranty in writing. Complaints communicated only by telephone or in face-to-face discussions will not protect Your rights under this Limited Warranty.

D. Scope of Repair. Builder’s repair of any Defect under this Limited Warranty shall include repair and cosmetic correction of surfaces, finishes and coverings, original with the Single Family Home, which require removal and replacement in order to repair the Defect, or to repair other damage to the Single Family Home, as originally constructed, directly attributable to the Defect. Builder’s repair under this Limited Warranty will restore damaged components of the Single Family Home, original with the Single Family Home, to a condition approximating the condition just prior to the Defect, but not necessarily to a like new condition. Such repair, when undertaken by Builder, will be performed utilizing materials of like kind and quality to those original with the Single Family Home.

E. Breach of Warranty. This Limited Warranty shall not be considered breached by the existence of a Defect, but rather is only breached by Builder’s failure to correct a Defect, following arbitration, in accordance with the Arbitrator’s Award.

A. Builder warrants solely to You that commencing with the Warranty Date and continuing for one year, the Single Family Home will be free of the Defects noted in the Performance Standards as the Builder’s responsibility. This Limited Warranty terminates one year after the Warranty Date. Written notice of an alleged Defect must be received by Builder within thirty days after the expiration date of the Limited Warranty in order to be eligible hereunder.

A. Builder DISCLAIMS all liability for, and has no obligation to You under this Limited Warranty for, any of the following:

1. Bodily injury or any loss or damage to personal property.

2. Any Consequential Damages, including, but not limited to, damage to the Single Family Home that is caused by a covered Defect but is not itself a covered Defect, cost of shelter, transportation, food, moving, storage or other incidental expenses related to relocation during repairs. Some states do not allow the exclusion or limitation of incidental or consequential damages, so this limitation may not apply to you.

3. Any Defects caused by, contributed to, aggravated by, or resulting, in whole or in part, from: changes of the grading of the ground by anyone other than Builder or Builder’s employees, agents, or subcontractors; changes or alterations made to the Single Family Home by anyone after the Warranty Date, except those performed by Builder or Builder’s employees, agents, or subcontractors; any deficiency in materials or work supplied by anyone other than Builder or Builder’s employees, agents, or subcontractors; negligence, improper maintenance or improper use of the Single Family Home by anyone; dampness, condensation, mold, mildew or fungus regardless of its cause or source; or failure of, or damage to, any part of the Single Family Home not built by Builder or Builder’s employees, agents or subcontractors.

4. Any bodily injury, loss, damage, costs, expenses and any Defects caused by, contributed to, aggravated by, or resulting, in whole or in part, from: fire; explosion; smoke; water escape; falling objects; aircraft; vehicles; Acts of God; lightning; hail; floods; wind driven water; insects, rodents or vermin; moisture, rot, corrosion, rust, mold, mildew or fungus; roots, vines or plants; or war, terrorist acts, vandalism or riots.

5. Any Defects caused by, contributed to, aggravated by, or resulting, in whole or in part, from any soil or earth movement, including, but not limited to: earthquake, landslide or mudslide; mine subsidence, sinkholes or changes in the level of the underground water table; volcanic eruption, explosion or effusion; or expansion, contraction or settling of the earth or soil on which the Single Family Home is built.

6. Any Defects caused by, contributed to, aggravated by, or resulting, in whole or in part, from wind, including, but not limited to: hurricanes; tornadoes; tropical storms; or gale force winds.

7. Any costs or expenses arising from, or any Defects caused by, contributed to, aggravated by, or resulting, in whole or in part, from: the actual, alleged or threatened discharge, dispersal, seepage, migration, release or escape of Pollutants, including, without limitation, any liability arising from uninhabitability or health risk attributable to Pollutants, contaminants or irritants (including, without limitation, the presence or consequence of radon gas, formaldehyde, arsenic, fiberglass, methyelene chloride, acids, alkalis and chemicals or any other substance or compound that is or may be in the building materials used to construct the Single Family Home) or attributable to the presence of or proximity to hazardous or toxic materials; or any governmental direction or request to test for, monitor, clean-up, remove, contain, treat, detoxify or neutralize Pollutants.

8. Any Defects that become apparent after the Single Family Home is no longer used primarily as a residence.

9. Any Defects caused by, contributed to, aggravated by, or resulting, in whole or in part, from abnormal loading on floors which exceeds design loads.

10. Any damage to Consumer Products.

11. Any Defects which You have not taken timely action to minimize.

12. Any Defects covered by any other warranty or insurance.

13. Any nonconformity with building material manufacturer’s installation guidelines or specifications; or local building codes, regulations, or requirements which has not resulted in a Defect. This Limited Warranty does not cover building code violations in the absence of a Defect.

B. Builder DISCLAIMS any liability under this Limited Warranty for any loss or damage as a result of any Defects which would not have occurred in the absence of one or more of the events or conditions listed in 4, 5, 6 or 7 in Section A above. Builder further DISCLAIMS any liability for any such loss or damage regardless of the cause of the event or condition; other causes of the loss or damage; or whether other causes acted concurrently or in any sequence with the event or condition to produce the loss or damage.

A. Your duties under this Limited Warranty are as follows:

1. If You believe that the Single Family Home contains a Defect, You must advise Builder by written notice. You must send Your written notice no later than thirty (30) days after the date the Limited Warranty expires. If such notice is not postmarked or received by Builder by that deadline, Builder shall have no obligation to remedy a Defect.

2. You must cooperate with Builder and Builder’s employees, agents, and subcontractors in every effort to investigate Defects, including, without limitation, granting the right of reasonable access to the Single Family Home to monitor, investigate, or correct Defects, upon reasonable notification to You. In the event You withhold access to the Single Family Home from Builder, Builder shall have no obligation to remedy Defects.

3. Except at Your own cost, You will not voluntarily make any payment or assume any obligation or incur any expense for the correction of items which You believe to be covered by this Limited Warranty without Builder’s prior written approval. In the event of an Emergency Situation, approval is granted to You to make reasonable repairs, temporary or permanent, provided such repairs are confined solely to the protection of the Single Family Home from further damage and that You shall notify Builder as soon as possible, but no later than five (5) days after the repairs are undertaken, and provided further that You shall keep an accurate record of such repair expenditures.

A. Scope of Arbitration. Any and all disputes arising out of, or in any way related to, this Limited Warranty or the building of the Single Family Home, or sale of the Property, including without limitation, disputes as to what issues must be submitted to arbitration; any alleged breach of the Limited Warranty; and alleged violations of consumer protection, unfair trade practice, or other statutes; or that Builder practiced fraud or was negligent or made misrepresentations or otherwise acted fraudulently in building the Single Family Home or, where applicable, selling the Property, shall be submitted to binding arbitration. Further, if Builder fails to respond to Your written notice or Builder does not correct the Defects in the way You think this Limited Warranty requires, or Builder does not agree that the condition is covered by this Limited Warranty, or if any other disputes arise which relate in any way to this Limited Warranty, to the Single Family Home or to the Property, then such matters shall be submitted to binding arbitration. ANY INDICATION IN THIS LIMITED WARRANTY THAT AN ITEM OR CONDITION IS NOT COVERED OR IS EXCLUDED MEANS ONLY THAT BUILDER IS NOT OBLIGATED TO REPAIR, REPLACE OR PAY YOU THE COST TO REPAIR OR REPLACE SUCH ITEM OR CONDITION. IT DOES NOT MEAN THAT DISPUTES OVER SUCH ITEMS OR CONDITIONS ARE EXCLUDED FROM THE PARTIES’ OBLIGATION TO SUBMIT ALL THEIR DISPUTES TO ARBITRATION.

B. Arbitration Procedure. The party seeking resolution of a claim or dispute must give written notice of intent to proceed to arbitration to the other party no later than thirty (30) days after the date the Limited Warranty expires. Binding arbitration shall be conducted by Construction Arbitration Services, Inc., 2777 Stemmons Freeway, Suite 650, Dallas, Texas 75207, (214) 638‑2700, according to its rules and procedures in effect at the time such notice is given. Upon request, the applicable rules and procedures will be provided to You by that organization. The award of the arbitrator shall be final, binding, and enforceable as to both You and Builder in accordance with the Federal Arbitration Act (9 U.S.C. § 1 et seq.). You and Builder agree that this Limited Warranty involves commerce and disputes arising under it shall be governed by the Federal Arbitration Act. The arbitrator shall determine Your and Builder’s rights and obligations under this Limited Warranty and applicable law, except that the arbitrator shall have no authority to award either party rescission of the sale/construction contract, consequential or incidental damages, punitive damages or any remedy prohibited under the Limited Warranty or the sale/construction contract.

C. Cost of Arbitration. Arbitration shall be the exclusive forum for resolving disputes for both You and Builder. The costs of such arbitration shall be borne by You and Builder equally.

D. Attorney’s Fees. This Limited Warranty provides for mandatory arbitration of disputes. If any party commences litigation in violation of the arbitration provisions in this Limited Warranty, such party shall reimburse the other parties to the litigation for an amount equal to their costs and expenses, including attorney’s fees incurred in seeking the dismissal or a stay of such litigation. The parties agree that either the court in which the litigation was stayed or dismissed or the arbitrator can enter an order or judgment for such costs and attorney’s fees.

A. Limit of Liability. Builder’s limit of liability under this Limited Warranty is the amount of the Total Contract Price of the Single Family Home less the fair market value of the land on which it is located. That amount is the most the Builder will expend or pay for all Defects regardless of the number of warranty claims made. You must sign a full release of all legal obligations with respect to the Defects when Builder has finished correcting or replacing the Defects, or when Builder has paid You the actual cost of correcting or replacing the Defects.

B. Independence from the Contract of Sale. Nothing contained in the sale/construction contract can restrict or override the provisions of this Limited Warranty.

C. No Assignment to Subsequent Homeowners. This Limited Warranty shall not transfer to a subsequent Homeowner to whom the Single Family Home is sold.

D. Assignment of Manufacturers’ Warranties. Builder hereby assigns to You the manufacturers’ warranties on all appliances and equipment installed in the Single Family Home. You should follow the procedure set forth in the applicable manufacturer’s warranty should any appliance or item of equipment malfunction. Builder’s obligation under this Limited Warranty as to any appliances and equipment installed by Builder in the Single Family Home is limited to the workmanlike installation of such appliances and equipment, and further only applies where such appliances and equipment are not Consumer Products.

E. General Provisions.

1. Should any provision of this Limited Warranty be deemed unenforceable by a court of competent jurisdiction, that determination will not affect the enforceability of the remaining provisions.

2. Use of one gender in this Limited Warranty includes all other genders, and the use of the plural includes the singular, as may be appropriate.

3. This Limited Warranty is to be construed in accordance with the laws of the State of Oklahoma except insofar as its construction is governed by the Federal Arbitration Act.

F. Other Warranties; Insurance. In the event that Builder repairs, replaces, or pays You the reasonable cost to repair or replace a Defect, or other related damage to the Single Family Home covered by this Limited Warranty, which repair or replacement is covered by another warranty or by insurance, You must, upon Builder’s request, assign the proceeds of such warranties and/or insurance, or Your rights under such warranties and/or insurance, to Builder to the extent of Builder’s cost of such repair or replacement. This paragraph in no way modifies or amends Section III, Items and Conditions for Which There Is No Builder Repair Obligation.

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