Guide to Construction Law for Condominiums

Condominiums are buildings or compounds containing multiple separate housing units. Some people choose to rent condos as vacation properties, while others prefer to buy a condo as their regular home.

Condos and townhomes have doubled in popularity since 2020, overtaking single-family homes in sales. They’re attractive to potential buyers because they contain communal spaces, like clubhouses, pools, or fitness centers. These public spaces are subject to the rules and regulations set out by the condominium association that oversees the compound. As a result, the laws regarding condos are slightly different from those concerning stand-alone houses, where you own the structure and the land it sits on, or apartments, which you do not own.

This dual communal and private feature of condominiums presents unique legal circumstances for owners, sellers, and builders.

Jump to Section:

• What Is Construction Law
• Condo Construction Law Terms to Know
• How Does Construction Law Apply to Condominiums
• The Most Common Legal Disputes for Condominium Construction Projects
• When to Hire a Lawyer for Your Condo Construction Dispute

What Is Construction Law?

The increasingly competitive construction industry is subject to complex laws and regulations. Construction law generally refers to all federal, state, or local law, regulations, ordinances, rules and regulations that concern buildings, structures, components and systems within such structures as well as certain land-related work (e.g. digging a foundation). It involves every step of the building process, from zoning and construction site noise levels to job site safety and employment law.

Typical issues in construction law include the following.

• Contract negotiations: Building companies, workers, and property owners will consult a lawyer to ensure tight and straightforward contracts.
• Project approval: Before a construction project can begin, the builders need permission from the local government. Construction lawyers often help procure this approval.
• Environmental law and compliance: The Environmental Protection Agency has passed many regulations concerning the acceptable amount of pollutants produced during construction. When people wrongfully accuse businesses of violating these laws, construction lawyers can help them defend their cases.
• Zoning: Construction lawyers often help determine acceptable uses for a property and what constitutes a violation of those rules as land use and zoning compliance is relevant and necessary for most construction project approvals in Massachusetts.

What Do Construction Lawyers Do?

Construction lawyers assist anyone involved in the construction process, from individual workers to property owners to building companies. As a result, construction lawyers are knowledgeable in multiple areas of law, including contracts, banking/financing, torts, real estate property law, land use and zoning, municipal/administrative appeals, and dispute resolution. Construction lawyers are generally skilled at resolving the conflicts at the heart of many construction-related issues.

Construction law is a results-focused type of legal practice which benefits clients who need their cases handled delicately and efficiently. From designating zones for building plans to representing clients in court, construction lawyers take on many tasks.

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Construction Law Terms to Know

Like any legal field, construction law comes with a unique vocabulary. Here are some essential construction law terms to understand.

• Condominium: A housing unit connected to and surrounded by other similar units and common spaces. Condominium owners own their individual units, but the condominium association in charge of the complex owns and manages all shared areas and property.
• Scope of work: The scope details what the contractor must build for an agreed-upon price. Anything not included in the scope is an extra, which the owner must pay additional money for.
• Contractor: Someone who performs work according to a contract. They may work for a company, but they are ultimately independent entities, not company employees.
• Extras: Additional work not specified in the original contract. Owners will have to pay more for extras.
• Change order: The owner has the right to add or deduct elements from the scope of work when changes occur.
• Declaration of condominium: This document outlines which spaces within the complex are private and shared. Additionally, it explains what will happen when the developer hands the property over to the condo owners.
• Offering plan: This document guides the sales process by detailing the essential requirements before the developer can pass the property over to the condo owners.
• Defect: A flawed aspect of a building plan or structure that could pose the risk of harm in everyday use.
• Mechanic’s lien: A guarantee that the mechanics, builders, contractors, and construction companies involved in creating a building will receive payment for their work.
• Condominium association: In housing development, this would be the homeowners association. The condominium association is the organization in a condominium complex that enforces the rules and regulations for living in that community. Condominium associations also provide shared amenities like landscaping, swimming pools, and fitness clubs.

How Does Construction Law Apply to Condominiums?

Condominiums create unique construction law considerations due to their communal nature and shared ownership structure. While unit owners have the rights to their condominium “unit”, the condominium association owns the land and common areas surrounding them as well as the systems (e.g. electric service lines, water service lines) serving the condominium building, and governs what you can do and cannot do in those spaces.

Unlike apartments, condo owners hold title to their units as owners. As long as the association allows it, unit owners can renovate their units subject to the relevant restrictions of the condominium and applicable law. However, owning a condo is different from owning a home in that it generally does not include land beneath or around the condominium building. You may own your unit, but you generally cannot unilaterally control or modify the landscaping or the surrounding area.

The property owner is responsible for maintaining their unit’s good and safe condition. As a result, if the owner has occupied the space for a long time, some issues that may seem like construction defects can be due to the property owner’s actions. For example, if a property owner does not take care to protect their bathroom’s walls from shower spray, moldy drywall in the bathroom would not count as a building defect. In this case, the owner is liable for the results of their inaction.

Generally, liability rests with whoever is responsible for or created the concerning condition. The contractors or construction companies are generally responsible for building a condominium building are liable for unstable foundations or faulty construction. Similarly, the on site installer can be liable for issues such as water leaks that occur as a result of poor fixture installation.

Condominium associations are another essential part of the construction process at a condominium. When you buy a condo, you agree to the rules set out by the association. So, for instance, while you have free rein to bring guests into your unit, you would have to follow a specific set of rules when you take them into your complex’s fitness center.

The 5 Most Common Legal Disputes for Condominium Construction

Disputes can occur for many reasons, but several overarching factors cause legal disputes in construction. Some are prevalent among all kinds of structures, but others are unique to condominiums. Here are five typical disputes condominium owners may encounter.

1. Contract Errors

Contract errors occur when contracts contain false or otherwise incorrect information. For example, if a construction company underwent a recent name change and did not update the name in their contracts, that constitutes a minor contract error. While this error is too insignificant to take to court, something more substantial could cause problems that only a trial can solve.

Errors can also occur as a result of omission. If specific details are missing from a contract — intentionally or otherwise — it could result in future issues and confusion.

The best way to avoid falling prey to contract errors is to ensure you thoroughly check your contracts before you sign anything. Having a lawyer present when signing or drafting necessary agreements can prevent errors from getting through.

2. Contract Noncompliance

Noncompliance occurs when one party fails to uphold its contractual obligations. For example, suppose a unit owner damages a common area because they were not following the rules. In that case, that owner may be liable for noncompliance with their contract to the association.

Another possible noncompliance scenario is if the completed project fails to meet standards. Builders are legally and contractually obligated to produce high-quality work. If the finished product is anything less than satisfactory, the builders have not upheld their end of the bargain, and the owner may have a case against them. An experienced construction attorney can help you figure out whether to pursue this case in court and how you can structure that case.

3. Claims Errors

Unsubstantiated, misleading, or otherwise poorly written claims can cause confusion between the parties involved. Specifically defining the claims in your contract can help prevent a misunderstanding from arising later and causing severe issues.

If you change your contract or need to draft a new one for any reason, it’s wise to consult an attorney before you sign any paperwork. Your attorney can help you find issues with the contract that you or the other party might overlook that could be problematic down the road.

4. Unfinished or Shoddy Work

Contractors or companies that do not fulfill their obligations to do quality work can be legally accountable for their negligence, especially if the work caused damage to the structure. Water damage, structural instability, or other issues resulting from poor workmanship may be grounds for a suit.

For example, if a contractor incorrectly installs a fixture that later damages your unit, you may have a case. An attorney can help you prove that your contractor breached their contract by doing unacceptable work.

5. Condominium Associations

Condominium associations provide the communal amenities that make condominium complexes attractive. When you choose to purchase a condo, you also agree to follow the rules outlined in the declaration of condominium. Before you commit to buying a unit, make sure you understand your obligations under the association. By knowing your responsibilities, you can prevent disputes from arising in the future. You can also decide against condominium complexes that have set rules you are unable or unwilling to follow.

On the other hand, condominium associations can violate the rules as well by not adhering to the government documents of the condominium such as the master deed, declaration of trust, bylaws, rules and regulations. Condominium associations members have a fiduciary duty to the condominium association entity to follow the law and rules of the condominium.

When to Hire a Condominium Construction Lawyer for Your Dispute

You can handle many situations without a lawyer by mediating outside a courtroom or pursuing a settlement. In any case, you should make sure you’ve exhausted all your options before hiring an attorney.

However, the following situations will almost always require condominium construction legal help.

Contract Disputes

While it’s possible to settle contract disputes outside the courtroom, it’s best to handle these situations delicately. Even if you’re not planning to meet in court, having an attorney present during mediation can help you make sure you can defend yourself.

Contract disputes can occur for any of the following reasons:

• Unclear terms and conditions
• Lack of contingency clauses
• Misunderstanding technical definitions
• One-sided contract

If your contract dispute ends up in court, you need legal representation. Consult an attorney if you think your dispute could become a lawsuit.

Building Defects

If you find a defect in your unit, investigate right away. Try to determine the extent and potential cause. Leaks or drywall issues could affect other units, possibly indicating a building flaw rather than an owner issue. Additionally, try to find out if any of your neighbors are experiencing similar problems — if others have the same issue, you can strengthen your case and theirs by working with them.

If you’re having trouble pinpointing the problem, consult a professional like a plumber for a second opinion. They can check the surrounding area to determine the cause.

Whether you consult an expert or your neighbors, make sure you document everything that could relate to your case and hold onto backup copies of any relevant paperwork. Keep your files organized so that you can easily access them later. Next, contact one of our lawyers at Calabrese Law Associates to learn about your options.

Lawsuits

Whether you are suing someone or being sued, you should seek legal representation. Lawsuits usually begin as minor disputes but escalate when there is no way to settle the situation outside of court. A lawyer can strengthen your case and argue for your rights. Or, if you’re unsure whether you have a case, an attorney can help you determine if your case is worth bringing to court.

Additionally, if you can’t tell whether your opponent’s threats are serious, consult a lawyer for an expert opinion. Your lawyer can also suggest what to do if the situation escalates to a lawsuit. The threat could be empty, but it’s best to prepare for every possible scenario.

Contact Calabrese Law Associates for Construction Law Advice

If you think you may have a condominium dispute on your hands, Calabrese Law Associates is here to help. Whether you’re in Boston, the surrounding area, Chelsea, Cambridge, or anywhere in Massachusetts, we’re happy to provide condominium construction legal services.

Contact Calabrese Law Associates today to schedule a free consultation, or call us at 617-340-6623. Our team of experienced construction lawyers can help you decide what steps to take next.

This publication and its contents are not to be construed as legal advice nor a recommendation to you as to how to proceed. Please consult with a local licensed attorney directly before taking any action that could have legal consequences. This publication and its content do not create an attorney-client relationship and are being provided for general informational purposes only.