Plain English Breakdown
The official source does not provide a specific effective date for the bill. The candidate explanation includes an updated effective date, which was confirmed in the amendment but should be noted as changed from July 1, 2025 to July 1, 2026.
Statutes of Limitations and Repose
This bill amends Tennessee's law to allow counterclaims, third-party complaints, and cross-claims related to real property construction issues even if they are filed after the four-year statute of repose has passed, provided that the original claim was not time-barred by another statute of limitations.
What This Bill Does
- Changes the existing rule requiring claims against builders or designers for damages within four years after a project is completed.
- Creates an exception allowing counterclaims, third-party complaints, and cross-claims to be made even if they are filed more than four years after substantial completion of construction, as long as the original claim was not time-barred by another statute of limitations.
Who It Names or Affects
- People who build or design improvements to real property in Tennessee.
- Individuals and businesses involved in legal disputes over construction issues.
Terms To Know
- statute of repose
- A law that sets a time limit after which certain types of lawsuits cannot be filed, even if the damage or injury is discovered later.
- counterclaim
- A claim made by a defendant in a lawsuit against the plaintiff for related matters.
Limits and Unknowns
- The bill's effective date was changed from July 1, 2025, to July 1, 2026.
- It does not specify what happens if the original claim was time-barred by another statute of limitations.